By Clyde Mooney – editor Australian Hotelier
High-profile Parramatta gaming pub the Crown & Rose has hit the market, as vendor confidence hits “pre-GFC” levels.
Consistently in the Top 150 NSW gaming venues, the hotel is one of the few single-ownership venues on the list and is being sold by private investor partnership TWL Hotels.
Speaking to TheShout, CBRE Hotels director Daniel Dragicevich said he is anticipating strong demand, due to Parramatta’s rapid residential development in recent years and projects currently under construction.
“The A-grade pub market in metropolitan Sydney is extremely strong at the moment, with plenty of buyers in what is a very tightly held market segment,” said Dragicevich.
“Some of the prices that are being achieved and the yields they represent are reminiscent of the pre-GFC pub market.
“Historically low interest rates, a relatively clear legislative environment and the fact that many of the larger groups are looking for a similar style of asset has led to a price squeeze at the top end of the market and this is giving prospective sellers real confidence to go to the market and achieve a premium result.”
Dragicevich reports the market optimism is a key motivation for the divestment by the long-term partnership that owns the Rose & Crown, which boasts a 24-hour hotel licence and 30 gaming machine authorities and is trading strongly.
The hotel is being marketed by Dragicevich by way of a national, two-stage Expression of Interest / Tender process.
The two-level property is located on a high profile corner site, and incorporates a ground floor public bar, bistro, gaming room, TAB and beer garden as well as on-site parking, first floor offices and accommodation.
Development in the Parramatta region includes over 400 units, to be sold off the plan through CBRE Residential Projects, and 1000 apartments in Meriton’s twin-towered Altitude on the former David Jones site.