The Engadine Tavern and adjoining retail sites have been listed for sale by HTL Property’s Sam Handy, Dan Dragicevich and Andrew Jolliffe.
The Engadine Tavern and adjoining retail sites have been listed for sale offering extraordinary mixed-use redevelopment potential (STCA).
The hotel is strategically situated within the Engadine town centre and is prosperously surrounded by retailers such as Woolworths, Coles, ALDI, and Dan Murphy’s.
The Vendor, a joint venture with combined expertise in property investment, development, and hotel operation, acquired the hotel with a planning approval in place, and upon settlement immediately set about activating the development approval for 64 luxury residential apartments on the hotel’s adjacent car park; and which is now under construction and close to being completely sold out. This residential development, known as the Heritage Apartments, has been subdivided from the hotel and will not form part of the assets being sold.
In addition, the vendor consortium has acquired an adjoining retail property; and is now selling the amalgamated hotel and adjoining retail sites with pre-DA plans available for a mixed-use residential, retail and hotel redevelopment (STCA).
“The motive behind the sale is part of a longer-term plan to diversify into other real estate asset classes within the group” offered Vendor representative, David Stone.
“We believe the divestment of the Engadine Tavern and adjoining retail sites represents an amazing opportunity for a prospective purchaser to acquire a large format hotel with development upside in Sydney’s South-West” Stone added.
HTL Property’s Sam Handy, Dan Dragicevich and Andrew Jolliffe have been appointed to handle the campaign in conjunction with Highland Commercial Property’s David Highland and Luke Barbuto.
The latter boasts extensive experience within the Engadine town centre, having been involved with the sale of two of the most recent residential developments being both the Hermitage and Gallery apartment projects.
The Engadine Tavern business generates in excess of $7,000,000 in annual revenues across bar, bistro, gaming, wagering and retail liquor. It features a 1am liquor licence with 26 gaming machine entitlements attached.
The hotel enjoys a large trading footprint with scope for an incoming operator to activate the upper floor into an alfresco beer garden. The adjoining retail tenancies deliver a combined passive income stream of approximately $165,000 per annum.
‘We anticipate the campaign will generate interest from a broad spectrum of suitors. These will range from hoteliers interested in reinvigorating the offering through to developers, land bankers and investors attracted to the site’s strategic land holding offering flexible redevelopment and site amalgamation options” advised HTL Property Director, Sam Handy.
The Engadine Tavern itself occupies a 2,325* sqm site with an additional 1,279* sqm of adjacent retail tenancies across two sites included in the sale. All three sites present with favourable redevelopment controls including B3 Commercial Core zoning, 20 metre height approvals and 2:1 FSR. The amalgamated landholding promotes mixed-use redevelopment plans to relocate and reduce the size of the tavern facilitating a ground floor footprint of 2,000+sqm for a supermarket with up to 54 apartments above (STCA).
“There exists a distinct lack of supply of recently developed apartments within Engadine, as evidenced by the strong response to the Hermitage apartments release” noted Highland Commercial’s Andrew Highland.
The Engadine Tavern and adjoining sites are being sold via a National Expression of Interest closing at 4:00pm Wednesday 14 December 2022 (if not sold prior).
For more inftomation contact the agents via the contact form below.
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