Freehold investment Edwardes Lake Hotel sold by JLL & Cropley

By on September 14, 2021 0

Edwardes Lake Hotel Reservoir’s frank interest was sold for $ 28 million within 24 hours of the EOI closing. The property has been offered exclusively for sale through John Musca of JLL, Will Connolly and Stuart Taylor in conjunction with Steve Cropley and George Iliopulos of Cropley Commercial.

John Musca, National Director of JLL Hotels, commented that the sale “highlights the astute recognition of the investment hotel market as an asset class that offers a higher IRR than any other form of commercial property due to the millions of dollars of underlying perpetual goodwill value. that exist in every tenancy, so that future arbitrage and recovery the increase in value is unmatched.

Introduced to the market through a national Expression of Interest process, the property has attracted the interest of private and institutional investors with offers received from parties nationwide. The successful buyers, Hotel Property Investments (ASX: HPI), went beyond the prequalification process with an unconditional offer and a very short payment period.

Edwardes Lake Hotel, formerly known as Zagame’s Reservoir, has been offered a sought-after investment grade triple net lease for 60 years with the site operating 100 gaming machines and net annual income. starting point of $ 1,400,000. In addition, the attractive site size of 48,900 m² provided an underlying platform for long-term land storage.

Will Connolly, Vice President, JLL Hotels commented, “The hospitality industry is currently experiencing the strongest period of transactional activity in two decades and the fact that this sale was executed within 24 hours of the closing of the expression of interest is testament to the feverish desire for advertising assets. in full ownership across the country “.

Congratulating the buyers selected for their latest acquisition, George Illiopolus, director Cropley Commercial concluded “It was a pleasure to help HPI secure the latest addition to its national portfolio on what is undoubtedly a quality asset with an impressive lease.”

To request a sales analysis, please contact one of the sales agents via the contact details below.

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