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|
Location (City) |
Asset Type |
Transaction Date |
Size (Sqm) |
Value (USD) |
|
Bass Hill, NSW |
Hotel |
November 2021 |
9,000 |
19.8 million |
Buyer: Laundy Group
Seller: Event Hospitality & Entertainment
Services provided: Sale
Background
Colliers was appointed to market Rydges Bankstown on behalf of Event Hotels and Resorts, the vendor.Rydges Bankstown has 120-rooms, restaurant, bar and conferencing facilities and on-grade parking for 150 cars. The hotel has a long track record of strong and stable profitability, borne from its prominent location among a host of demand drivers. It is one of just a handful of branded upscale hotels in the South West region and draws from a wide range of markets including Bankstown, Liverpool, Chullora, Milperra, Parramatta and the nearby Bankstown Airport. The property also sits on a substantial 9,000 sqm site, which has flexible zoning to permit further development.
The Process
Colliers ran an Expressions of Interest campaign. With its flexible B5 Business development zoning, the site offered a wide variety of alternate use possibilities including office, medical, education and industrial. Colliers assembled a team of experts to market the property with strong relationships across a range of sectors which resulted in strong bidding from a diverse mix of buyers.
The Challenge
The campaign launched in June, but shortly thereafter Sydney went into lockdown with the Canterbury Bankstown LGA being designated a major hotspot. Despite these challenges, the underlying strong fundamentals of the property saw keen interest in the hotel with a wide profile of investors drawn to this opportunity, from traditional hotel investors to alternate use groups.
The Results
The hotel was sold to the Laundy Group for $28 million and under the terms of the sale, Rydges will remain the operator of the hotel under a management agreement.
“Gus, Karen and Frank worked exceptionally well to cover all aspects of the South West Sydney investment market. They worked tirelessly to source a variety of different buyer types, which in turn allowed them to maintain competitive tension throughout the campaign. Event Hotels and Resorts were very pleased with the outcome, which was achieved in a challenging climate, given lockdowns in South West Sydney.”
-- Peter Hill, Event Hospitality & Entertainment
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