Oscars Group has acquired the freehold and operations of the Paradise Hotel in Adelaide for circa $22m.
The Paradise Hotel was sold by renowned South Australian publican Greg Maitland of GM Hotels Group. The transaction was overseen by JLL’s John Musca, Will Connolly and Ben Parkinson.
The Paradise Hotel presented to market as a robust gaming and hospitality complex featuring a public bar with TAB facilities, recently refurbished bistro, and gaming lounge with 33 EGMs. The property also offered significant development potential with an expansive 8,500 square metre landholding under favourable ‘Urban Corridor’ zoning.
Competitively pursued by both local and national operators via a public EOI campaign, the Paradise Hotel was secured by NSW-based Oscars Group, continuing their foray into South Australia, following its acquisition of the Fahey Hotels trio of pubs, comprising the Lakes Resort Hotel, Bridgeway Hotel and Maid & Magpie Hotel.
Maitland said the divestment of the Paradise Hotel gives him the opportunity to pursue other prospects within South Australia.
“The Paradise Hotel represents a highly strategic divestment which can now allow me to focus on further opportunities within the local market. We wish Oscars Group every success with the venue and celebrate what is clearly a dynamic and exciting period for the SA market.”
Connolly said the level of national interest in the Paradise Hotel reinforces the appeal South Australian pub assets hold for Australia’s most prominent hoteliers.
“In recent years, the SA pub market has witnessed an unprecedented surge of interstate capital, with volumes recently exceeding $500m from cross-border activity alone.
“Eastern seaboard hotel groups have identified South Australia as a market offering exceptional opportunities for assets of scale, underpinned by favourable regulatory environments and compelling value propositions compared to their home markets.”
Other interstate groups that have shown an interest in the South Australian market in the last few years have included Victoria’s Black Rhino Group, NSW’s Harvest Hospitality and Shogroup, and national pub group AVC.