By Vanessa Cavasinni, editor Australian Hotelier
Hotel Palisade in Sydney’s Millers Point, has sold to an investment firm for $31.5 million.
The freehold of the hotel was sold to First Master Capital through John Musca of JLL Hotels & Hospitality. It is the second freehold sale of around $30 million to investors for Musca in a week, following the sale of Clovelly Hotel.
Hotel Palisade was renovated and reopened in late 2015, and enjoys views of Sydney’s Harbour and surrounding areas. The renovation also saw eight boutique accommodation rooms added plus a ground floor public bar, the rooftop Henry Deane Bar and Restaurant as well as a number of private function rooms.
“Hotel Palisade is an exemplary piece of world-class property the likes of which only exist in a few cities of the world, and which happens also to be a resoundingly successful hotel business, setting the tone in the renaissance of Sydney’s Millers Point,” commented Musca.
Sydney pubs continue to be an attractive investment for capital funds and developers, with recent freehold sales including the Crown Hotel in Parramatta and Allawah Hotel in Sydney’s south. Musca said that Hotel Palisade was the latest sale as part of this emergent trend.
“Much like the recent record sale of the Clovelly Hotel it highlights the growing association of the sophisticated investment community with underlying hotel property values in capital cities.”
Outside of Sydney, the Beach Hotel in Byron Bay sold to Impact Investment Group for $70 million last week.
Australian Hotelier contacted Greg Walker, managing director of Hotel Palisade, who had not responded by time of publication.