The strength of the Australian hotel market is showing no signs of slowing, with CBRE brokering two recent pub sales in Victoria.

Leisa Wheatland of Wheatland Hotels has sold the Toorak Hotel, formerly the Bush Inn, to Doolan Hotels, a family group operating several bars in St Kilda and Mr McCracken at Essendon Fields.

The 650sqm Toorak Hotel has capacity for 400 with a weekly revenue of $50,000-$55,000 and offers a public bar, family dining room and the potential for a rooftop extension and was marketed for $1.5m

CBRE Hotel’s Mathew George brokered the deal on behalf of Wheatland Hotels and said there was great scope for the new and energetic owner-operators to renovate and capture the growing crowds and renewed enthusiasm around grand old pubs getting a quality makeover.

“We are seeing strong levels of enquiries and motivation from buyers in assets that have plenty of upside in strategic locations. The targeted campaign yielded over 50 enquiries resulting in three shortlisted parties,” George said.

In addition, the owner-operators of Murphys Geelong have added Geelong’s 899sqm WestEnd Hotel to their portfolio, which was also marketed for around $1.5m.

The hotel, which offers a dining room and front bar, forms part of Geelong’s WestEnd precinct with its collection of laneways, bars, eateries and tourist destinations.

CBRE’s George brokered the deal for private vendors, and he said: “The wide-reaching enquiry I received on this is evidence the Geelong market is considered one of the fastest growing centres in the nation and large players in our sector are very keen on getting in on the ground floor.

“Our local purchaser is embarking on some really exciting expansion in the area with another venue acquisition soon to be announced. These new kids on the block could be compared to being Geelong’s version of Melbourne’s Sand Hill Road group.”

Andy Young

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

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