Australian Venue Co. has continued its investment in Victorian pubs, taking the freehold going concern of the Anglers Tavern with another investment partner, EG Private Wealth.
Maribyrnong’s Anglers Tavern is the largest food and beverage venue north of the Melbourne CBD, five kilometres north-west of the city, on an 8,270sqm lot boasting 160 metres of direct frontage on Maribyrnong River.
The large-format Tavern offers a spacious family bistro serving pub classics and a kids’ menu, extensive outdoor area, sports bar with TAB facilities, and a large function space on the first floor. Regular entertainment includes live music and DJs, trivia nights and poker tournaments.
“Anglers Tavern is a great pub with a fantastic riverside location,” offers Craig Ellison, AVC COO, who sees the acquisition as a great start to the year.
“It offers something for everyone, from families to sports fans to music lovers, and it is popular with the local community.”
AVC took over operations 19 January, from the vendors, a private Melbourne family that still holds other Victorian pubs, in a deal through Cropley Commercial’s George Iliopulos.
They had previously listed the asset, mid-2018, hoping for a sale and leaseback transaction.
AVC says it has no changes planned for Anglers, beyond the swift addition of Mr Yum to enable at-table ordering.
This continues a strong campaign of investment in Victoria in the past year by the group, bolstering the portfolio with the Sarah Sands Hotel, Village Belle Hotel, Criterion Hotel, Ball Court Hotel, Kewpie (formerly Bimbo) and the Victoria Hotel.
Sources suggest the total purchase price on Anglers was circa $30 million, with $23.33 million coming from a new Trust formed by Sydney-based real estate fund manager, EG Private Wealth, which is offering its wholesale clients cash distribution of 8.5 per cent across a seven-year term.
EG provided AVC an initial 15-year lease term, and sees both short and long-term value-add opportunities at the Tavern, via capital improvements.
Anglers marks the second asset acquired through the partnership following EG’s investment in the freehold of Brisbane’s beachside Redcliffe Tavern, for $19.29 million, in a deal through Savills’ Jon Tyson. Redcliffe Tavern is operated by AVC’s sub-brand Queensland Venue Co (QVC).
Founded in 2000, EG describes itself as a “disciplined, data-driven investment manager” and developer, with over $4.3 billion in assets under management.
It proffers that hotel assets, with long-term leases and strong underlying land fundamentals, are of both immediate and future benefit to its community of investors.
“Property assets in the hospitality sector present a strong platform for growth and consolidation,” says Sean Fleming, Head of Capital Transactions.
“Great hospitality venues remain relevant to local communities, especially with lead operators building their reputation.”
