Sam Arnout’s Iris Capital has expanded its operations in the Northern Territory, buying three pubs and two stand alone accommodation hotels.
The purchases see Iris add the independently owned Gap Tavern, Todd Tavern, Diplomat Hotel, Mercure Hotel and Aurora Hotel to the Alice Springs Casino, which is already owns in the city.
Arnout said: “In addition to our casino and Crown Plaza accommodation operation, the five asset roll up provides additional scale, and a clear platform to leverage human resource strategies and other synergies required to prosecute the high quality hospitality experience we are determined to deliver our clients in Australia’s Top End.”
HTL Property Director, Brent McCarthy, added: “We have worked closely with Sam and his team over a number of years to deliver upon these growth strategy objectives, and feel confident the five hotel assets acquired will benefit from both the expertise and strategic capital he plans to deploy.”
The largest of the three pub transactions concluded by Iris, The Diplomat Hotel, has been sold by the highly regarded Waratah Fund who recently set the NSW regional record sale in the form of its $28m divestment of the Victoria Hotel in Wagga Wagga.
“We’ve enjoyed a long and prosperous interaction with both the Diplomat Hotel and broader Alice Springs business community, and recognise the time is right for both Waratah and Iris to conclude this mutually beneficial transaction,” said Waratah Fund CEO, Darren Baker.
Iris’ investment in Alice Springs, reflects Government investment in the region and HTL Property Director, Glenn Price, said it emphasises the long-term attraction of Alice Springs to both domestic and international visitors.
“Like other destinations which enjoy the confluence of both tourism and infrastructure investment, Alice Springs is an important investment hub; and one which wholly warrants the astute investor interest it garners,” Price said.