Goodtime sells East Village Hotel after nine months, different marketing strategy

The ground floor wine bar was created following a $1.6 million renovation five years ago.

Goodtime Hospitality has sold Darlinghurst’s East Village Hotel – built in 1918 as the Tradesman’s Arms.

The leasehold and freehold were offered for public sale in February – a month before the country’s COVID lockdown.

At the time the real estate component was speculated to be worth more than $7 million.

The rooftop deck has city skyline views.

The campaign was later changed to a leaseback and a different marketing agency – JLL Hotels & Hospitality Group – was appointed to promote it off-market.

Kate MacDonald, Ben McDonald and Dylan McEvoy were the brokers.

Their deal comes in a month two other Darlinghurst pubs sold – but to occupiers – including Green Park Hotel 700 metres away which was acquired by neighbour St Vincent’s Hospital and Courthouse Hotel – half that distance in Oxford Street, which Moelis will refurbish and hold in a new fund after outlaying $22m (story continues below).

Goodtime’s makeover cost $1.6m

Goodtime, led by James Bodel and Lochy Peache but backed by six shareholders, offered the East Village Hotel at 234 Palmer St.

The business partners paid $3.5m for the three storey watering hole at the south east corner of Liverpool St at the end of 2015 then undertook a $1.6m refurbishment.

It is now fit out with a ground floor wine bar, first level athletics club and rooftop garden which enjoys city skyline views.

When the property was listed at the start of the year the business was deriving annual revenue of $3.6m.

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Marc Pallisco

A former property analyst and journalist, Marc is the publisher of realestatesource.com.au.

Marc Pallisco