Harvest Hotels doubles its money on Yass pub
Regional pub group Harvest Hotels has sold the Australian Hotel Motel in Yass, just two years after purchasing and renovating the hotel.
The hotel was sold to a private family who own one other regional hotel, for approximately $3.7 million. The sale price is more than double the investment Harvest Hotels had in the hotel since purchasing it in November 2017.
Situated on a 3,017 sqm block, the hotel recently underwent a refurbishment. Its offer includes a bar, bistro, and 10 EGMs. It also has a significant accommodation offering, with 17 first-floor pub rooms, as well as 17 motel-style suites behind the hotel.
The overall current weekly revenue for the pub is in excess of $30,000 per week, and there is significant opportunity in adding a smoking solution to the gaming room, and creating a comprehensive marketing plan for the accommodation offering, which currently averages 60 per cent occupancy.
In a quick-fire campaign, the hotel was sold seven days after being placed on the market, with CBRE Hotels’ Kate MacDonald and Ben McDonald at the helm. MacDonald said the rapid sale of the Southern Tablelands pub was indicative of renewed interest in regional pubs.
“We have been inundated with interest in regional hotels so far in 2020. These pubs are at the centre of their communities and, if managed properly, will yield strong returns for the operators.”
“We’re delighted to have assisted Harvest Hotels with yet another successful sale, which formed part of their 2019/20 divestment strategy,” she stated.
“We believe the investment universe for this category and type of hotel will continue to expand in 2020.”
Harvest Hotels owns two venues in Tamworth: The Pig & Tinder Box restaurant and bar; and the Courthouse Hotel, which is currently undergoing a major refurbishment expected to be completed mid-year.