ALH Sells Four Melbourne Pubs For $29.85 Million

FOUR Melbourne hotels have changed hands at auction today, in deals worth $29.85 million.

Glen Waverley’s Mountain View Hotel sold for $10.9 million, on a yield of 6.95 per cent, while the Eltham Hotel at Eltham sold for $7.9 million (on a 6.43 per cent yield).

Essendon’s Royal Hotel sold for $6.785 million (6.27 per cent yield) while the Westmeadows Tavern, also in Melbourne’s north-west, sold for $4.4 million on a 6.2 per cent yield.

The properties were offloaded by Australian Leisure & Hospitality Group – 75 per cent owned by Woolworths, and 25 per cent owned by pokies king Bruce Mathieson.

As part of the portfolio, four Brisbane pubs will also be sold: the Stones Corner Hotel, Stones Corner; Royal Exchange Hotel, Toowong; and Oxford 152 Hotel in Bulimba.

All seven ALH hotels will be sold with leases averaging about 19 years to ALH with options for four further 10-year terms.

CBRE Hotels’ agents Joel Fisher, Scott Callow and Craig Harley were the joint marketing agents for the Melbourne properties in conjunction with Raoul Holderhead, Billy Holderhead, Pat Kelly and Dean Venturato of Burgess Rawson.