Receivers and managers Vaughan Strawbridge and Joseph Hansell of FTI Consulting, have now placed five Sydney assets within the Public Hospitality portfolio on the market. The receivers were appointed a month ago by one of Public’s senior creditors, Muzinich & Co.
The mini portfolio of inner-city pubs includes three city-fringe pubs that have remained operational: The Strand Hotel, Darlinghurst; Camelia Grove Hotel, Alexandria; and The Norfolk Hotel, Redfern. It also includes boutique accommodation hotel Oxford House Hotel in Paddington, and the Exchange Hotel development site in Darlinghurst. Colliers has been appointed to look after the sales campaign.
The Strand Hotel sits on a prime corner location on William Street, and underwent a major renovation by Public Hospitality which include a rooftop bar and a refresh of 17 boutique accommodation rooms. It also includes 20 PMEs.
The Camelia Grove Hotel sits on a 573 sqm corner block opposite the South Eveleigh precinct, and includes an Italian trattoria and dining room, public bar, sports bar, two outdoor patio areas, four accommodation rooms, and 13 PMEs.
The Norfolk Hotel, which also underwent a massive renovation in 2021, has multiple F&B offerings, a popular beer garden, a first floor function area, and a four-bedroom short-term rental apartment with separate access.
Oxford House Hotel, which is located on Oxford St halfway between the CBD and Bondi, occupies 872 sqm of land, and is being offered with vacant possession. The nearby Exchange Hotel site in Darlinghurst has a DA approved for a five-storey building, meaning an extra two storeys can be added on top of the existing building, which currently comprises accommodation and ground floor music bar and gaming lounge.
“We expect a lot of interest in these venues and will work closely with venue management to achieve a successful outcome,” stated Strawbridge.
All five assets are freehold assets, and can be sold individually or as a portfolio. The EOI campaign will close 14 November.
Lender Archibald Capital has taken over the operations of the rest of the Public Hospitality portfolio, including the Oxford Tavern in Petersham and the Exchange Hotel in Balmain, plus Melbourne venues Clifton Hotel and Saint George, and is looking to raise funds to buy them outright.