East Brisbane based freehold going concern, the Lord Stanley Hotel, has been sold off-market to Hakfoort Group for $20m in a deal brokered by JLL Hotels & Hospitality.

Australian Venue Co (AVC) and Hotel Property Investments (HPI) decided to sell the Lord Stanley Hotel together following several direct approaches from would-be purchasers.

A sizeable asset, the Lord Stanley occupies 5,500 square metres freehold land within 5 kilometres from the Brisbane CBD and within 1,500 metres of the Gabba. The hotel possesses 40 gaming machines, a function area, a beer garden and a ‘significantly underutilised footprint,’ according to JLL.

The real estate agency also highlighted the potential to reimagine the hotel’s offering in the run-up to the 2032 Brisbane Olympics.

As a result of the sale of the passive freehold, HPI has recorded a 4.62 per cent yield. AVC’s leasehold sale will allow the company to ‘re-deploy capital to other strategic acquisitions.’

JLL stated that this acquisition ‘adds weight to the significant list of hotel transactions for 2022 thus far and provides both quantitative and qualitative evidence of the unfulfilled demand for freehold going concern hotels within Queensland.’

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