Having operated the venue for over a decade, the Colonial Leisure Group purchased the freehold for the Lucky Coq Hotel at a site rate of around $20,000 per square metre.
The hotel is in a prime location, on the corner of Chapel Street and High Street, at the intersection of Melbourne’s trendy Windsor and Prahran Suburbs.
CBRE Group’s Mathew George and Scott Callow facilitated the sale, with George saying: “The sale price represents an impressive site rate, but still provides massive upside for the buyer given the potential to further develop the building and scope for rental growth in the future.”
This sale is the first time the asset has changed ownership in more than 50 years, with venue previously owned by a family business based in Melbourne.
Colonial Leisure Group (CLG) is also a family-run business, having been established by the Morris family in 2008.
Callow contextualised the sale as part of a wider trend of pub purchases: “The hotel sector remains in vogue, with investors driven by limited high-quality opportunities, low interest rates and thriving pubs businesses underpinning the rentals.”
“Chapel Street is part of Melbourne’s fabric and Lucky Coq is one of its most-loved venues,” George added.
The Lucky Coq, located at 179 Chapel Street, is known in the area for its pizza and craft beer offering. The venue is open 12-to-12, Thursday to Sundays.