The Ashton Waugh-led pub group has sold The Exchange Hotel in Kyogle to a new entrant into the hospitality industry.
The Exchange Hotel in Kyogle has been sold by Ashton Waugh’s Watering Hole Hotels after an accelerated campaign driven by local and interstate interest. The Northern Rivers pub drew six formal Expressions of Interest (EOIs) and achieved a successful sale within an accelerated timeline. The campaign was guided by HTL Property’s Ben Kennedy and Xavier Plunkett.
The Exchange Hotel was acquired by a new entrant to the hospitality industry, highlighting the continued confidence in regional markets; and the appeal of hotel investments in tightly held areas with long-term growth potential.
“With multiple income streams, strong annual revenues of approximately $1.7 million, and development potential, the Exchange Hotel stood out as a compelling opportunity for both seasoned operators and first-time publicans,” Advised Ben Kennedy. “We’re thrilled to see this historic asset move into the hands of a motivated new operator, one ready to bring fresh energy and ideas to the business.”
The hotel occupies a prominent 2,250sqm corner site in the heart of Kyogle’s CBD, spread across three titles, including 1,600sqm of undeveloped land. It features a fully operational pub with a bistro, commercial kitchen, public bar, 20 pub-style accommodation rooms, a beer garden, and three fully leased commercial tenancies generating ~$35,000 p.a. in passive income.
“This result reflects not only the quality of the asset but also the strength of Kyogle as a regional centre. Its socio-economic fundamentals — from a stable and growing population to its strategic position near Byron Bay — make it highly attractive to investors seeking both income and lifestyle alignment,” stated Plunkett.
Situated in the Northern Rivers region of NSW, Kyogle is approximately 90 minutes from the Gold Coast and less than an hour from Byron Bay. While traditionally known as a strong agricultural hub, the region is evolving. The local economy remains anchored by cattle grazing and timber milling, but is increasingly supported by tourism, lifestyle migration, and a shift toward organic and regenerative agriculture.
The Kyogle LGA supports a growing population of approximately 9,500 residents, with the area benefitting from the broader “tree change” trend that has seen city dwellers relocate to more affordable, lifestyle-rich rural communities. This has helped drive consistent capital growth in both residential and commercial property, with agricultural land values in the region increasing by an impressive 19.1% p.a. over the past five years.
“This sale highlights a growing appetite for well-positioned regional hospitality assets — particularly among new market entrants who are looking to capitalise on strong local demand and emerging tourism trends,” stated Kennedy.
For vendors Watering Hole Hotels, the sale comes four months after the acquisition of the Union Hotel in North Sydney off the Good Beer Group. Watering Hole Hotels has a portfolio of 14 pubs across New South Wales – from metro hotels like the recently renovated Penny’s Hotel in Potts Point ad the Grosvenor Hotel in Waterloo; to pubs in Wagga, Dubbo and Tamworth.