Colin M. Parras is back on the ground, taking The Quarryman’s Hotel in Pyrmont from Arthur Laundy in the latest mid-market transaction.
Laundy bought the Quarryman’s, located on the corner of Harris Street and Pyrmont Bridge Road, in 2011 for around $3.5 million – just weeks after divesting the Harlequin Hotel on the same block to ALH.
An extensive renovation was undertaken, bringing trading to the second floor of the three-storey building, and a rooftop bar facility, with views of the CBD and Darling Harbour skyline.
The pub earned a name for its craft beer offering and rustic décor, immersing itself in the world of artisan beverages to the delight of many living and working in what is in fact Australia’s most densely populated precinct. Weekly revenue averages around $65k, with only nine EGMs onsite.
Since selling his big Peachtree Hotel in Penrith mid-2017 to Chinese developer BHL, Parras has reportedly been sitting “on the sidelines waiting” for the right opportunity.
“I’ve been working closely with HTL Property over the last 12 months and have looked at plenty of acquisition opportunities with them,” he says.
“Accordingly, I am absolutely delighted to have picked up the keys to the Quarryman’s Hotel.”
The off-market deal was negotiated by HTL Property’s Sam Handy and Dan Dragicevich in conjunction with Mike Wheatley from Knight Frank Hotels.
Agents advise the Laundy group was planning toward a public auction of the asset when presented with a compelling offer and willingness by Parras, bringing buy price of circa $12.5 million.
The swiftness of the transaction is indicative of the current level of appeal of strong cashflow hotels in its price range, as seen in the recent sales of the Captain Cook Hotel in Botany and Illinois Hotel in Five Dock.
“We anticipate the Sydney metropolitan mid-market to be a very active segment this year, and have subsequently significantly increased our focus and resources to deliver these kinds of outcomes to our valued clients,” offered Dragicevich.
