By Vanessa Cavasinni, editor Australian Hotelier

The Treetops Tavern, in Burleigh Heads, has been acquired by a syndicate for $20 million.

The larger-format tavern acquisition was the largest pub transaction in the region for the last five years. The tavern was sold by Thomas Hotels, a Sydney-based pub group. John Musca, national director of JLL Hotels & Hospitality Group, and his Brisbane associate Tom Gleeson, ran the sale campaign.

The tavern, which has 45 gaming authorities, an onsite Liquor Barn and drive-thru, a standalone bottle shop, two bars and a bistro, is located on a 7000 sqm site. Opposite the tavern’s parcel of land is a soon-to-be-built Treetops Shopping Centre and a Bunnings hardware store.

The Treetops Tavern was purchased by another Sydney-based syndicate, which includes Sydney hotelier Peter Ashelford – owner of the Lewis Hotels, which owns seven Sydney hotels – and Sydney City Roosters chairman, Nick Politis. This is the second Gold Coast pub purchase for the syndicate, which recently acquired The Boathouse Tavern in Coomera for $13.9 million.

Gleeson stated that recent hotel purchases in the Gold Coast area have proven that it is a robustly growing market for hotel investors.

“The recovery of the Gold Coast leisure market coupled with some major infrastructure and development projects, has fuelled a robust resurgence in precinct investment”.

Musca expanded on the point, stating: “These sales reflect the cyclical trend of interstate hoteliers looking beyond their tightly held markets to invest in South East Queensland, with interest in Brisbane hotels understandably escalating as a result of the casino announcement and the enormous weight of capital driving the city and fringe apartment boom.”

He also stated that due to the impending statewide legislation changes relating to on-premise hotels, interstate investors are likely to feel at ease with the legislation, as the fact that it encompasses the entire state makes it a level playing field, as opposed to the Sydney market, where lockout legislation has disadvantaged certain parts of the state.

“Hotels benefit from high barriers to entry and have historically traversed and adapted to modified legislations, so it’s no surprise that interstate operators are not fearful of the new legislation and are scouring South East Queensland for opportunities within the asset class”.

The Shout Team

The leading online news service for Australia's beer, wine, spirits and hospitality industries.

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