Two sales in the inner corner of pubs in Sydney were announced late last week: The Olympic Hotel in Paddington and the Courthouse Hotel in Darlinghurst.
Former Newcastle Publicist Wayne Lambert has acquired the lease at the Olympic Hotel in Paddington from owner CK Realty.
Located on the corner of Regent Street and Moore Park Road — one of the busiest arteries in the eastern suburbs — the hotel offers a public bar, large dining room with separate bar, commercial kitchen and 15 conventions currently in a non-smoking room. The accommodation rooms remain under the management of CK Realty.
Olympic Hotel, which sits on 533 sqm, benefits greatly from $ 828 million. The redevelopment of Sydney Football Stadium, the $ 2.9 billion light rail network and general revitalization of the Moore Park district.
“I am thrilled to return this heritage pub back to its former beauty. The hotel will provide a warm and friendly atmosphere for the locals and visitors, ”said Lambert.
The sale was handled by Kate MacDonald of JLL Hotels & Hospitality on behalf of CK Realty. MacDonald suggests that the Sydney metro market is stronger than ever despite trade restrictions.
“This transaction marks the third sale of Sydney leases negotiated by the team at JLL Hotels in so many months, joining the recent sale of Foresters Inn, Surry Hills and Native Rose Hotel in Rozelle.
“Operators are still thirsty for trade opportunities, especially in the Sydney outskirts and suburbs. The Olympics have certainly experienced some challenges over the years with the changing landscape of Paddington, but the short-term outlook looks significantly brighter and everyone will be excited to watch this iconic Sydney pub come to life again. ”
Lambert plans to significantly improve the building’s facade, improve the range of games and stakes and provide patrons with accessible F&B opportunities.
An Oxford Street beauty
Meanwhile in Darlinghurst, Moelis Australia Hotel Management (MAHM) has acquired the Courthouse Hotel on Oxford Street for $ 22 million excluding transaction costs. This is the first time that the corner pub has been traded since 1990.
The acquisition of ownership is funded through a new Moelis Australia Courthouse Fund, which enables unique access to this special asset class. The investment platform enables leading levels of governance and capital management, as the innovative financing model provides access for both Moelis client investments and operations managers to invest in the hotels they operate, creating a significant alignment of stakeholders.
“The acquisition of this historic site in the heart of one of inner Sydney’s most diverse and dynamic areas offers an exciting opportunity,” said MAHM CEO Dan Brady.
“The landmark community hotel has a prominent place in the history of the Darlinghurst and Oxford Street communities. MAHM will honor this as we look to re-establish the heartbeat of hospitality in Taylor Square through a renovation that celebrates its significant heritage. We expect the refurbishment work combined with our staffing and community outreach focused operating model to deliver attractive returns for investors, enhanced and enriching experiences for Darlinghurst patrons and a great opportunity to rethink the late economy with Sydney as it opens up after COVID. ”
The off-market sale of the four-story pub and adjoining commercial property was handled by HTL Property’s Dan Dragicevich, Andrew Jolliffe and Sam Handy.
Courthouse is to be one of the most recognizable pubs in Sydney, and after being in the same hands for over 30 years, the uniqueness of the offer attracted significant interest from a wide range of buyer profiles. The widespread view is that Oxford Street will have a renaissance in the coming years, as smart investment houses and developers seek a foothold in the city’s only 24-hour area after the reform of the lockout laws, ”said Dragicevich.
The Courthouse Hotel has a 24-hour liquor license seven days a week, with only a three-hour closing of games. It also has 24 conventions, nine accommodations and approval for outdoor dining.
Completion of the acquisition is expected in February 2021.