Receivers sell last Virtical pub

The Eden hotel, developed in 1904.

Lyon Group has picked up the last asset of failed pub investor Virtical.

The c1904 Hotel Australasia in Eden cost $4.1 million.

The Eden property contains eight guest suites.

With a restaurant, bar and eight accommodation suites, it was last refurbished in 2022, when Virtical bought it for $1.65m.

One of Hotel Australasia’s dining rooms.

The seller also obtained a permit for an outdoor kitchen, bar and shops – part of which was under construction

HTL Property represented administrator BRI Ferrier, acting for the Morello family’s Bond Finance, which backed the purchase – Virtical’s maiden acquisition.

The pub investor collapsed last year after, amongst other things, failing to settle on two Paddington, Sydney, hotels or repay a speculated nine figure tax bill.

Hotel Australasia

The Eden site spreads 2886 square metres at 142-144 Imlay Street (story continues below).

Annualised revenue circled $2m, according to the marketing agents.

The sale comes three months since BRI Ferrier sold the Adelphi Hotel on Melbourne’s Flinders Lane to local Mazen Tabet for $19m – a drop on the $25m Virtical agreed to pay in 2023.

Last September meanwhile the receiver divested the Republic Hotel in Sydney’s CBD to the Thomas family for $32m.

Virtical bought that property from Singapore’s SC Capital in August, 2023, for c$41.8m.

Lyon Group, established over 50 years ago by late developer Bruce Lyon, behind commercial and residential projects, will hold it with another regional NSW hospitality asset, the Seahorse Inn at Boydtown, and the Mercure Hotel Townsville.

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Marc Pallisco

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