The buoyant hotel and pub sector has seen another huge purchase with MA Hotel Management (MAHM), a private entity of ASX-listed MA Financial Group (formerly Moelis Australia) acquiring the Freehold Going Concern of Bendigo’s All Seasons Resort Hotel for $54.5 million.

The transaction was brokered exclusively off-market by JLL Hotels & Hospitality Vice President, Will Connolly, along with Managing Director, John Musca.

Occupying a 35,572sqm site on McIvor Road close to Bendigo’s city centre, the fully integrated entertainment complex incorporates 77 guest rooms and suites (4.5 star), large bistro/restaurant, sports bar with TAB, licence to operate 100 gaming machines, conference & wedding facilities, indoor heated swimming pool, spa and sauna and extensive on-site parking.

MAHM CEO Dan Brady said, “The All Seasons Resort Hotel is a high quality hospitality asset that aligns with the investment thesis of MA Hotel management.”

“Located in a strong growth area of regional Victoria with a clearly visible culture and vibrancy that aligns to our hospitality values, the hotel sits on a large footprint offering multipurpose social, entertainment and accommodation facilities driving its presence as a community hub for the local and destinational domestic tourist markets.

“After a tough period for hospitality in Victoria, we are thrilled to be commencing a relationship with the Bendigo community in which we look forward to a positive social contribution as an experienced owner and operator of large format hotels with a clear focus on our value chain of driving high staff satisfaction which drives strong customer engagement and enriched community outcomes.

“Our plan, like always when operating All Seasons Bendigo will be to learn about the people, the customers and the Bendigo community, develop out a vision, apply our capital and empower a team of hospitality professionals to deliver an optimised locally authentic experience backed by wonderful positive social impact programs like Redcape’s Publinc Communities program.”

Connolly said the sale reflects the buoyant regional pub market and with COVID-19 redefining economies it’s a trend we could witness for some time.

“Border restrictions and overseas travel limitations, coupled with the continued exodus of city dwellers to centres such as Bendigo, will continue to drive demand for hospitality assets, especially those offering F&B, accommodation and gaming,” Connolly said.

“The All Seasons is one of the largest multi-faceted venues in the country, offering a huge trading footprint and spread of income diversity as well as a significant landbanking opportunity.”

The sale follows a recent influx of interstate capital into the Victorian pub space, historically dominated by ALH and a number of large generational family groups, with most predicting this trend to continue.

“We are representing a significant weight of capital moving from NSW to Victoria as a natural geographical expansion for operators requiring a national footprint as a response to the supply challenges in an ever-tightening NSW hotel market,” Musca said.

“We’re witnessing an astonishing transactional crescendo to end this financial year in the hotel asset class, with owners capitalising on the current scarcity of quality hotel assets and the insatiable appetite of both corporate and private investors.”

With the acquisition, MAHM will combine ownership of the property and business operations of the All Seasons Resort Hotel.

Brady said: “bringing the leasehold and freehold components of the property together is core tenement of our model and how value is driven for all stakeholders.”

The All Seasons Resort Hotel is expected to settle from August 2021, subject to customary precedents.

Andy Young

Andy joined Intermedia as Editor of TheShout in 2015, writing news on a daily basis and also writing features for National Liquor News. Now Managing Editor of both TheShout and Bars and Clubs.

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