iProsperity Group buys Melbourne’s Pullman on the Park hotel for a speculated $200 million

Brookfield Asset Management listed the East Melbourne hotel for sale in February.

Five-star hotel Pullman on the Park, near the Melbourne Cricket Ground, has sold for a reported price of about $200 million.

iProsperity Group (iPG), based in Sydney and directed by Michael Gu on behalf of Asian investors, including institutional clients, is acquiring the East Melbourne property from Canada-based Brookfield Asset Management.

The 419-room hotel (pictured top and left) is the latest Australian hospitality asset acquired by iPG in recent years. Melbourne’s Crowne Plaza, Glen Waverley’s Novotel and Sydney’s Park Regis Hotel (which iPG listed for sale in February) are also held in its portfolio.

The Pullman deal, flagged in July by The Australian, forms part of plans by iPG to control $10 billion of assets by 2020.

iPG currently has $1.8 billion of assets under management and is within the country’s top 10 hotel owners, according to its website.

JLL Hotel and Hospitality’s Peter Harper and Craig Collins, with McVay Real Estate’s Dan McVay and Sam McVay have been marketing the Pullman for Brookfield since February. An expressions of interest campaign, which offered the property with vacant possession, closed on March 15.

For years until 2015, the 20-storey brown brick building at 192 Wellington Parade, a site which once held the Cliveden Mansion, was branded Hilton on the Park.

Built in 1974 and renovated in 2008, the hotel is opposite Fitzroy Gardens less than a kilometre from the CBD.

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Marc Pallisco

A freelance property writer and experienced analyst, Marc is the co-founder of realestatesource.com.au