The national appetite for coastal pubs continues with JLL Hotels & Hospitality Group thrilled to announce the sale of Victoria’s iconic Apollo Bay Hotel. Presented to market for the first time in over 30 years, the Freehold & Business Interest was offered exclusively for sale by JLL Hotels Vice President, Will Connolly.
Hotly contested throughout the sale campaign, the Apollo Bay Hotel drew over 150 enquiries nationally from private operators to some of the industry’s most well-known operators, culminating in a sale price well over the stated price guide of $10.5m plus, providing yet another example of the premium placed on coastal hotel assets nationwide. The hotel was eventually secured by a Victorian-based publican who has chosen at this stage not be disclosed.
Selling agent, Will Connolly, Vice President of JLL Hotels commented, “Representing on market such a well-known and much loved hotel within our great state has been an absolute privilege. The level of enquiry and buyer participation was certainly testament to the reverence held to the Apollo Bay Hotel. We received 5 incredible offers at the culmination of our EOI campaign and with just the right level of competitive tension, we were able to produce an acceptable result for our delighted vendors at a level significantly above our original price guide of $10.5m plus”.
The Apollo Bay Hotel came to market at what many saw as an opportune time, launching at the beginning of what looks to be another strong year of pub sales, with operators wanting to put the challenges of 2021 behind them and look to uncover new acquisition opportunities. The venue offered an incredibly strong base of revenue with multiple trading zones such as a stunning front deck overlooking the beach, a large family friendly bistro, public bar, multiple function spaces along with a newly added rear beer garden – proving extremely popular to locals and tourists alike over the recent Christmas holiday period.
The property also presented the right fundamentals, being set on an expansive 2,368sqm site with favourable Commercial 1 zoning, whilst also providing potential for future expansion, by increasing the current accommodation offering to cater to the extreme demand of year-round tourism.
The Apollo Bay Hotel sale continues the momentum in demand for coastal pub assets right across the country, with just last week the sale announcement of Lynch’s Hotel in Narooma NSW marking yet another acquisition by Merivale within the popular coastal town.
With Mr Connolly concluding, “JLL Hotels are currently in negotiation on over $150 million of coastal hotel assets around the country, so investor appetite in coastal hotels in 2022 appears relentless.”
