By Andrew Starke
Surfers Paradise bar, restaurant and nightclub complex Melbas on the Park is to be offered for sale through CB Richard Ellis.
A Gold Coast institution for nearly three decades, Melbas recently underwent a multimillion-dollar expansion to create a new restaurant, cocktail bar and lounge with 40 gaming machines.
CBRE Hotels will steer the sale campaign for the high profile Cavill Avenue property and nightclub business on behalf of receivers Jamie Harris and John Cronin from McGrathNicol.
The property, which is expected to sell for about $15 million, has been in the hands of the receivers since June last year after owner Paul Allen was unable to meet loan obligations to Westpac.
CBRE’s Craig Harley said Melbas was expected to be one of the most sought after hotel offerings this year, attracting local and national buyer interest.
“This multi award winning entertainment venue has been a popular Gold Coast institution for nearly three decades occupying a prominent site in central Surfers Paradise between Cavill Avenue and Beach Road,” Harley said.
The 2,696 square metre strata property has a strong and established cash flow in excess of $13.5 million for 2008/2009.
The complex occupies three levels within prominent Gold Coast tower, Cavill Park.
Harley said the business was set to benefit from the recently proposed $25 million Surfers Paradise Foreshore Redevelopment.
In other hotel news from Queensland, the ALE Property Group has finalised the $6.45 million sale of its Sunshine Coast Caloundra CBX Hotel less than a week after the property was withdrawn from auction.
The goup last week sold close to $37 million in hotels at an auction which attracted a great deal of industry interest.