By Andrew Starke
Embattled pub owner Hedley Leisure and Gaming Property Fund (HLG) has sold five NSW hotels for a total of $36.275 million.
National Leisure and Gaming (NLG), which had first right of refusal to acquire four of the properties, did not take up their right.
The Royal Hotel sold for $9.4 million, the Canterbury for $8.85 million, the Bridgeview for $7.5 million, the Lidcombe for $6.55 million and the Heritage for $3.975 million.
NLG is currently the tenant in all but the Heritage Hotel.
According to HLG executive chairman, Colin Henson, the total sale proceeds equate to a 14 percent increase on book value of the hotels as at June 30.
“The sales demonstrate strong demand for hotel assets and HLG is encouraged by the significant level of interest in (its) other assets,” he said.
The market welcomed the news with HLG shares trading at 38.5 cents at 1pm today (Nov 20), a significant increase on the 22 cents they were trading at seven days ago.