By Clyde Mooney
The recent sale of pub freeholds by Australian Leisure & Hospitality Group (ALH) aims to fund further expansion of its pub portfolio, the company has confirmed.
ALH this week announced the sale of three venues to private investors. Spokesman David Curry said the move confirms that the company's business model is focused on running pubs rather than owning the venues outright.
"We are selling freeholds to reinvest the proceeds into more hotel businesses," he said. "We still have in excess of 100 freeholds of 300 venues."
In response to whether there are further freeholds scheduled for market in the near future, Curry remained open to the possibility.
"Not at this stage, but we will always consider offers that would enable a sale and allow us to invest in new business."
The sale of the Jewells Tavern and Mattara Hotel in Newcastle ($5.82 million and $5.253 million respectively) and the Tasmania’s Granada Hotel ($3.30 million) were part of an auction of seven properties at Melbourne’s Crown casino last week.
According to Curry, the remaining listings of Ballina’s Westower Tavern, Dubbo’s Macquarie Inn, Caboolture’s Club Tavern, Doncaster East’s Cherry Hill Tavern Hotel are still in negotiation.
"We are still talking to interested parties on these four properties."