Hotelier Jim Knox has completed his play for a monopoly in Moree with acquisition of the last piece of the puzzle, the Amaroo Tavern, from Waratah Hotel Group.
The Amaroo incorporates a public bar, commercial kitchen and bistro, gaming room with 18 (Band 3) EGM entitlements, 4am licence and drive-through bottleshop. It resides on an enormous 10,000sqm land holding, and reports over $6 million in annual revenue.
Waratah have owned and operated the pub for around 15 years, and in light of a run of major transactions in the wider New England Region, many involving Knox, they cite “favourable market conditions” as a motivating factor for the sale.
“The asset was sold at a premium to book value, and it’s divestment represents good business sense for Waratah Unit holders,” advised Darren Baker, Waratah director.
Buying the freehold going concern is a newly formed partnership between local heavyweights Jim Knox and Patrick Gurr. The latter sold the White Bull Hotel to the former in July.
The two men have subsequently become mates, and Gurr and his sons, who still work at the White Bull, will become part of the Moree management force.
Securing the Amaroo wraps up a decisive $28 million acquisition strategy in Moree by Knox, who now owns all five hotels in town, being the Royal Hotel, Post Office, Victoria and Moree Hotel and now the Amaroo Tavern, and their 63 associated gaming entitlements and three bottleshops,
“Attracting quality management and operational personnel is a major issue in these regional localities,” offers Knox.
“However, given the scale and quality of the portfolio we have aggregated, we look forward to working with the existing team and attracting some top-quality and complementary talent to lift the overall offering at each of the respective venues.”
Waratah specifically engaged HTL Property’s Xavier Plunkett and Sam Handy to manage the divestment.
Sale price has been reported as north of $8.5 million, completing the ‘Fort Knox’ portfolio, through HTL.
“Operational and management synergies, complementary business models, a familiarity with the local market; and a deep entrenchment within the local community will benefit these hotels and the patrons of Moree who will ultimately enjoy them,” explains Plunkett of the strategy.
