NRL buys two more east coast investments
The NRL has snapped up two more hotels as part of a plan to diversify income streams.
In New South Wales, the group is paying Challenger, representing Elanor Investors Group (ENN), $15.5 million for the Ibis Styles Port Macquarie.
The result reflets a 7.4 per cent net passing yield.
ENN outlaid $8m in 2016; at 1 Stewart Street, on the south west corner of Lord, it contains 45 rooms and, just over a decade ago, was permitted for 37 more.
The 1.41 hectare block is zoned High Density.
Challenger stepped in as investment manager for ENN – in which it also took an 18 per cent stake – mid last year.
Ibis Styles Port Macquarie was held in the Elanor Hotel Accommodation Fund.
Another asset held by that trust, the Mantra Pavilion Wagga Wagga, is also trading this month – for c$8.75m.
Mantra Terrace
Meanwhile the NRL has picked up Brisbane’s Mantra Terrace (pictured, top) for a bullish c$22m.
The deal is a major windfall for the vendors, 8Hotels Paul Fischmann, Capit.el Group’s Eduard Litver and Jonathan Hasson, who paid $16m in December, 2021, when sentiment in the sector was high and yields were at record lows (story continues below).
Coincidentally, Mr Fischmann sold it to those vendors in late 2013.
On 726 sqm zoned Mixed Use at 52 Astor St, Spring Hill, walking distance to the CBD and proposed Brisbane Arena, which will host Olympic events, the nine level venue contains 85 rooms, refurbished in 2021, and a restaurant/bar.
CBRE’s Wayne Bunz and Hayley Manvell were the agents.
Big spender
The NRL is seeking to create a c$300m portfolio of hospitality and gaming assets.
It started investing two years ago – a peak year for the sector – with Brisbane’s 5-star Gambaro Hotel, now known as the Beetson, which set it back $25m.
A Quest backed asset in Sydney’s Woolooware followed – costing c$20m while under construction.
This year meanwhile the NRL outlaid $20m for the Sunshine Coast’s Mercure Kawana Waters.
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