Public Hospitality Group has bought the Lady Hampshire hotel and pub in Camperdown, Sydney for about $11 million.
The property had a 24-hour licence, 12 accommodation rooms and a popular public bar located on Parramatta Road near the Sydney University.
The 523 sqm site also has development approval for a 22-metre height restriction under mixed-use zoning.
Public Hospitality Group, formerly Jaga Group, have acquired 14 other city-edge venues across Sydney and Melbourne with recent acquisitions including The Strand Hotel Darlinghurst and Empire Hotel Annandale.
JLL Hotels Vice President Kate MacDonald and Managing Director John Musca negotiated the off-market transaction.
“We’ve been besieged with interest in city-fringe hotels with more than 15 transactions occurring in this the market in less than 12 months as private owner, or lessees, have eventually succumbed to operators ‘COVID-fatigue’ and look to divest their assets whilst underlying property and gaming asset values reflect an escalating trajectory,” MacDonald said.
Musca said the limited asset supply and core investment attributes would continue to fuel rhythmic sector activity this year, with mooted interest rate movements unlikely to have any significant bearing on the capital appetite for this hotel sub-sector.
Recent pub deals include EG and Australian Venue Co.’s purchase of The Anglers Tavern pub in Melbourne for $23.33 million last month.
Last December, MA Financial Group acquired the Hotel Brunswick in Brunswick Heads near Byron Bay on the NSW North Coast for $68 million, while Hotel Property Investments bought a portfolio of seven pubs located throughout South Australia for $66.1 million.
Hotel operator Fraser Short bought the Sir George Hotel in the New South Wales town of Jugiong for a reported $14 million last November.