ALH pub sales fetch $14.4 million
By Clyde Mooney
The freeholds of seven hotels have gone under the hammer in an auction sale at Melbourne’s Crown Casino.
ALH Group venues The Jewells Tavern and Mattara Hotel in Newcastle changed hands for $5.82 million and $5.253 million respectively, and the Granada Hotel in Berriedale, Tasmania went for $3.30 million.
Two further properties are expected to sell shortly, from the remaining listings of Ballina’s Westower Tavern, The Macquarie Inn in Dubbo, the Club Tavern in Caboolture, and the Cherry Hill Tavern Hotel in Doncaster East, Victoria.
Joel Fisher, Dan Dragicevich, Scott Callow and Craig Harley of CBRE Hotels handled the auction in conjunction with Billy Holderhead, Raoul Holderhead, Simon Staddon and Pat Kelly of Burgess Rawson.
Dragicivech said the ALH portfolio had generated solid buyer interest, with over 150 enquiries during the course of the campaign including private investors from every state.
ALH operates nearly 300 venues around the country, and the sales offered secure long-term leases, with initial terms of 20 years to the ALH Group.
Dragicivech said the sales were no doubt underpinned by the strength of the tenancy covenant.
"This is a testament to the confidence that buyers have in the industry and in ALH as a tenant," Dragicivech said.