Byron Bay’s Beach Hotel on the market
Byron Bay locals call it the “Top Pub”, and now the owner of the Beach Hotel will find out whether investors agree, after putting the popular property on the market.
Melbourne businessman Max Twigg is selling the iconic property, which lies opposite the beach at the famous New South Wales holiday spot, at the tip of its main strip.
The beachfront hotel is leased to Melbourne pub industry identity John van Haandel until mid-2017, with a further two 10-year lease options. It is currently leased for around $4.2 million annually.
It last sold in 2007 for $65 million.
Twigg made his fortune as the founder of waste management giant Cleanaway.
CBRE Hotels’ Daniel Dragicevich and Tony Bargwanna and Jared Hodge of Ray White Hotels have been jointly appointed to sell the property, which sits on a 4585sqm site and has multiple bars, a bistro with alfresco dining area, beer garden, a walk-in bottleshop, gaming room, 25 on-site hotel rooms and conference facilities and a pool with heated spa.
Dragicevich says well-known assets like the Byron Bay drawcard continue to be highly sought after.
“The national hotel investment market has seen a huge spike in values in the last couple of years with the continued low borrowing rate environment directly linking to capitalisation rates – especially for truly iconic properties such as the Beach Hotel, Byron Bay,” he says.
“Sales of the Prince of Wales in St Kilda, Melbourne and the Golden Sheaf Hotel in Double Bay, Sydney, saw competition generated across various purchaser profiles and we expect a similar market response for the irreplaceable Beach Hotel.”
Bargwanna says the hotel’s sale presents a “rare opportunity secure the only beachfront hotel in Byron”
“The area attracts significant year-round tourism expenditure, with an estimated 1.37 million visitors annually, which will be a key driver of investor interest in the Beach Hotel sale campaign,” Hodge adds.