Could you see yourself owning an iconic piece of Griffith history?
The Area Hotel is up for sale, and those who can see themselves as potential publicans have until 5pm on April 4 to submit an expression of interest - if the hotel isn't sold before then.
The current estimates have the price of sale to be upwards of $8 million, and the hotel currently generates revenues well in excess of $4.5 million per year.
Its current owners are a private syndicate who have held onto the property for well over a decade, but they have released the property onto the market and are making exit from the industry.
Aside from your usual beer and parmas, the hotel has the fourth strongest gaming room within the Riverina region.
It has 23 gaming machines, 12 of which are currently in an outdoor smoking and gaming area.
The hotel recently ranked 367 on the OLGR gaming list and is poised for significant growth by way of reconfiguring the existing gaming room.
The sale of the hotel is being co-managed by HTL Property directors Sam Handy and Blake Edwards.
Mr Edwards said regional pubs like The Area Hotel were in high demand and hot on the market.
“HTL Property are receiving heightened enquiry from metropolitan publicans directed towards the regional gaming pub market where value and upside is currently perceived to be better,” Mr Edwards said.
“A review of the Top 20 Regional NSW gaming pubs list will confirm that most of these pubs are either in corporate hands or owned by predominantly Sydney-based publicans.”
Director Sam Handy said the heightened demand for regional pubs had been going on for the last two years.
“With above average transactional volumes of metropolitan hotels over the last 24 months, the availability of quality metropolitan stock is rapidly diminishing, with operators now seeking quality coastal and regional assets over existing metropolitan options,” Mr Handy said.
With an existing population of over 27,000, the Griffith LGA is widely considered to have some of the best macro investment fundamentals in the region, with a high population to pub ratio, strong growth and demand drivers and excellent demographics.
In a strong sign for the local economy, the nearby $16 million Quest Hotel is also reporting solid occupancy from the corporate market.
The Area Hotel is tipped to attract interest from Sydney buyers, as well as investors from across the Riverina and from Griffith locals.
If you would like more information you can contact Blake Edwards on 0421 400 530 or Sam Hardy on 0412 590 509.
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