The Lewisham Hotel on bustling Parramatta Road is being sold, representing a rare entry-level freehold pub in a roiling market.
The two-storey pub resides on a substantial 1,157sqm site on one of Sydney’s major arterial roadways, between the CBD and the bustling inner west. It consists of a ground floor hospitality space including large island-style bar, efficient kitchen, gaming room with 12 machines and smoking solution, casual dining, small bottleshop, a large function room ideal for live entertainment – with separate bar, and multiple outdoor areas. Its licence is authorised for extended trading.
Upstairs there are 18 accommodation rooms with shared facilities that can be accessed by a separate entrance.
Located around seven kilometres from the Sydney CBD, and half that from Sydney University, the Hotel enjoys a mixed catchment, counting commercial and residential properties.
The first floor accommodation is currently at 100 per cent occupancy, through medium-term tenancies under licence agreements.
The pub, on the ground floor, is currently leased on a monthly basis, and its kitchen is currently not in use, meaning an incoming operator could assume operations, and capitalise on the local market through another revenue stream.
Known as Loui’s, it is proximate to Lewisham Train Station and the retail districts of Summer Hill and Leichhardt’s Norton Street, and stands to benefit from activity in the inner west, incorporating residential and commercial enhancements.
Existing hoteliers might also see benefit in relocating the licence and gaming, without forfeiture, to an alternate site within the LGA.
Selling agents Kate MacDonald and Greg Jeloudev of JLL Hotels, working in conjunction with Anthony Markakis of Richardson & Wrench Newtown, suggest the population density of the area makes for “enormous flexibility of opportunity” in a suburb with only two pubs.
“The hotel is surrounded by a growing population thirsty for a new ‘local’,” says MacDonald. “And with its favourable business fundamentals, not limited to its facilities and licence, the foundations are complete for an incoming astute operator to build upon.”
While no price guidance has been specified, the hotel’s gaming entitlements hold in-situ value of over $7.2 million, and the latest NSW Valuer General valuation of the land put it at $4.8 million.
The Lewisham Hotel is being offered for sale by way Expressions of Interest, closing Wednesday, 19 April.
