NSW publican buys Queensland hotel
NSW publican Gerry Murphy has snapped up the Commercial Hotel at Redbank in south-east Queensland.
The deal is the second by CBRE in the area in recent weeks, following the purchase of pf Pig ‘N’Whistle by Redcape.
CBRE Hotels Director Paul Fraser negotiated the sale in conjunction with Power Jeffrey and Co’s Peter Power and Andy Nason, acting on behalf of RR Holdings Pty Ltd.
Commenting on the acquisition, Murphy said: “Our background is in destination venues drawing people from afar while understanding the backbone of any proper pub; its locals. We will focus on good old-fashioned service with a newly built al fresco dining area and great live music each week.
“We plan to renovate immediately to recreate as much of the original establishment as possible while enhancing areas with warm lighting, greenery and new furnishings.”
The hotel comprises a sports bar with a separate TAB area, gaming room with 24 machines, indoor bistro and adjoining outdoor dining area, modern kitchen facility, walk-in bottle shop, four guest rooms and an administration office on the first floor.
Fraser said: “We are excited that an independent proactive publican has acquired the Commercial Hotel and is planning a full renovation of the asset which will benefit the local community.
“The hotel is strategically located just 2.5km north of the $5bn light armoured vehicle project, which is set to drive the area’s growth over the next ten years.”
Fraser also said the hotel’s gaming machines were performing 41 per cent higher than the LGA net metered win, per machine per day – indicating the hotel’s strong underlying gaming performance and future upside.
Power Jeffery & Co’s Mr Power added: “The growth and demand for hotel assets of this calibre located Queensland’s south-east corridor is underpinned by the inherent value of the gaming authorities, which in this case represents a gross value of approximately $4m based on the most recent government tender results.”