Hot on the high heels of rumours it was headed to the open market, news of a trans-action has emerged on Short and Leach’s LGBTQ+ landmark Imperial Hotel to the uber-inclusive Universal Hotels.
A pub has existed on the Erskineville site since 1880, rebuilt in a classic Art Deco design by Virgil D Cizzio circa 1940. In the ‘70s and ‘80s it gained a following under the tutelage of Dawn O’Donnell as a swinging LGBTQ venue, going on to become a focal point in the Australian blockbuster The Adventures of Priscilla, Queen of the Desert.
However, under new operators in 2015, it was hit with several breaches by the regulator, and soon closed indefinitely.
The prime site was being eyed by developers when AHA NSW President Scott Leach called late-night party venue hero Fraser Short about buying the beleaguered pub. Leach already held the title on the Rose of Australia in Erskineville.
They went on to purchase it in August 2015 for around $6.5 million, and let loose Short’s famous design expertise to revamp and ramp up the sorely missed LGBTQ entertainment hotel, hosting live music, drag shows and the “Drag & Dine” restaurant, unveiling the grand overhaul in time for Mardi Gras 2018.
There remains an approved and highly anticipated DA for the top floor, to create The Chappel, on the roof.
Short has been scaling back his hospitality interests, divesting his share of a collaboration with Laundy Hotels to the pub king, and The Morrison to a partnership of Brett Sergeant and James Wicks.
When discussion arose of a potential sale, Leach – largely a silent partner in daily operations – asked of Short that the sale be in the best interest of the venue, to someone with some form of commitment to the LGBTQ+ community.
Universal has now stepped on stage for The Impy’s next act. While a price was not officially disclosed, it is believed to have sold for close to $20 million.
Speaking with Universal principal Jim Kospetas, Leach says he welcomed them to “Team Erko” and believes they’re the perfect fit.
“The nice thing with Universal coming in, they’ll take it to another level, which will be fantastic for that site and the community.”
Universal is a growing pub group that counts more than a dozen properties in the stable, adopting a corporate structure but with a family philosophy. The portfolio includes the Newtown Hotel, the Tudor and Bat & Ball hotels in Redfern, the Civic in the CBD and Crown Hotel in Surry Hills, and multiple LGBTQ+ venues, notably including Oxford Street’s Oxford Hotel, Universal Sydney, and Brighton Hotel.
Group chief executive Harris Kospetas says the Imperial has “great synergy” with their collection.
“The acquisition fits our strategy of acquiring outstanding assets, where our operational and geographical synergies can unlock value.”
Sale of the asset was brokered by JLL’s Kate MacDonald.
“JLL congratulates Universal Hotels, owned and operated by the Kospetas family, on the latest addition to their vibrant and diverse portfolio.”
