By Andrew Starke
The Australian Property Trust has put the Rydges Hotel in Wollongong on the market, the largest property to be made available in the area this year.
Located at 112 Burelli Street, the hotel comprises 70 guestrooms, a restaurant, public bar, five retail stores and nine gaming machines with a total building area of approximately 8,000 square metres.
The sales campaign will be steered by CBRE Hotels’ George Nicholas and Andrew Jackson.
Jackson said the hotel site offered purchasers the flexibility of acquiring an owner occupier asset or a passive investment subject to a hotel lease.
“The property would be ideal for investors desiring a full-service hotel with the ability to significantly improve market share and financial performance through leasing the hotel,” he said.
“Alternatively redeveloping the land holding would be possible, subject to council approval, as the 120 metre or 40 level height allowances offers excess air space for further expansion.”
Nicholas claimed the property is currently underperforming, with occupancies around the 50 percent mark which could provide considerable scope for improvement.
“The weekend trade is very strong, driven predominantly from the domestic leisure market from Canberra and Western Sydney,” he said.
The hotel is offered for sale through an expressions of interest campaign closing Thursday 20 May at 4pm.