Feros Group has sold their flagship venue Rocksia Hotel to Oscars Hotels for $36 million.
Less than two weeks after being placed on the market, Rocksia Hotel in Sydney’s south has been sold to Mario and Bill Gravanis’ Oscars Hotels.
Nick and Chris Feros and Bob Richards converted a 4.218 sqm former car sales lot into the hotel a decade ago, with the venue situated on main arterial Princes Highway, and across the road from Banksia train station. But with Richards wanting to focus on other projects, it was decided to divest the pub.
“After a wonderful relationship with our partner Bob Richards, he decided at his stage in life, he wanted to do other things. So, we believed the fairest way to resolve it was to sell the asset,” Chris Feros told Australian Hotelier.
The sale, which represents an eight per cent yield, was negotiated by Daniel Dragicevich and Sam Handy of CBRE Hotels, who highlighted the further development potential of the large-format hotel in a growing area.
“It was a pleasure to be involved in a deal between two of the hotel industries true stalwarts and the price achieved is a testament to the vision the vendors had a decade ago,” commented Dragicevich.
“Hotel sites with development potential is an emerging market subset which a growing number of astute groups continue to assess quite aggressively as a natural hedge against traditional hotel operations on which valuation can be more reliant upon sustainability of income as opposed to property value.”
Awards and openings
The sale between Feros Group and Oscars Hotels comes right after both groups were recently honoured for their excellence within the industry. Mario and Bill Gravanis were both inducted into the AHA NSW Hall of Fame at the Awards for Excellence a fortnight ago. At the same awards, Feros Group won three awards, including Overall Hotel of the Year City for Prince Hotel in Kirrawee, which has been open for less than a year.
Accepting the major award of the night, Chris Feros praised the Gravanis brothers and their induction into the Hall of Fame.
“Bill and Mario’s work has been awesome for the industry. I love the boys, this is well deserved. We’re all family, we all work together and we all love what we do.”
Feros Group continues to be a hive of activity with its latest pub, with the Public House component of Highfield Caringbah opening this Friday 8 December. The Botanical rooftop will open next week.
Chris Feros is elated with the venue: “We knew it was going to look good, but it’s even better than expected.”