Sydney, 09 February 2015 –Strong demand for A-grade pubs across Sydney has
underpinned a flurry of transactions in the first few weeks of 2015, with the
sale of Le Pub Balmain and Napoleons Hotel among the latest assets to change
Pub Balmain (formerly the Monkey Bar) was sold by well-known operator Pat
Gallagher to local pub identity Tim Condon, who currently operates the East
Village Balmain and recently sold the Newington Inn in Stanmore.
positioned in the heart of Darling Street, the 575sqm hotel features 20 poker
machines and holds scope for future residential development potential at the
rear of the premises. Le Pub Balmain transacted for around $6 million.
the Iris Group recently acquired the Napoleons Hotel in Riverwood from long
term industry stalwarts, the Stanford family.
Hotels Director Daniel Dragicevich, who negotiated the off market transaction,
said the price of circa $14 million reflected the continued capitalisation rate
compression experienced for most of the past two years.
purchase comes after a particularly active period for the Iris Group, following
its purchase of the Grand Hotel in Bondi Junction in December taking its stable
of hotels to 12.
Dragicevich said the sale came at a time when the industry was entering an
upward cycle, with CBRE responsible for more than $150 million in pubs
transacting across Sydney in Q4 alone.
is another example of a long term owner selling to take advantage of the
increased demand and favourable pricing environment,” Mr Dragicevich said.
further evidence of the strong investor appetite levels currently being seen in
the 2015 market, CBRE Hotels has recently transacted another two assets.
with Napoleons Hotel Riverwood and Le Pub Balmain, recent pub transactions
total approximately $30 million.
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About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (in terms of 2014 revenue). The Company has more than 52,000 employees (excluding affiliates), and serves real estate owners, investors and occupiers through more than 370 offices (excluding affiliates) worldwide. CBRE offers strategic advice and execution for property sales and leasing; corporate services; property, facilities and project management; mortgage banking; appraisal and valuation; development services; investment management; and research and consulting. Please visit our website at www.cbre.com.