Continuing the interest in hot regional assets, the Laundy O’Hara Cruickshank consortium has bought Albury’s Springdale Heights Tavern for $22 million, representing a regional record.
Established in 1988 on a huge 1.2-Ha corner site on arterial Kaitlers Rd in Lavington, in the north of Albury, the very family-friendly pub boasts a huge air-conditioned kids’ play room, multiple bars and dining areas, and gaming operation with 30 machines.
Ending more than two decades owned and operated by Graeme Bosse, it has been bought by an amalgam of pub families, led by Sean O’Hara, the Laundys and Sam Cruikshank.
This furthers the group’s drive into southern New South Wales, consolidating their recent buys in nearby Wagga Wagga, with the Sportmans and Duke of Kent hotels.
Operation of Springdale Heights will mostly fall to Cruickshank’s team.
The pub’s septuagenarian vendor saw the thriving market as a good launchpad for retirement.
“After 25 years of ownership, our valued client, Graeme Bosse, engaged us to run a ‘by invitation’ sale process for the hotel, and given the shape and depth of recent interest garnered, we were confident of exceeding the previous record for the region,” relayed HTL Property’s Blake Edwards, who managed the campaign.
As with Wagga Wagga and other select regional centres, Albury enjoys both critical population mass and diversified economic inputs, notably agribusiness and other commercial industries.
Sale of the Tavern is an example of the level of investor interest being seen in the broader hotel industry, including regional areas, propelled by the sector’s generally high barriers to entry and assets backed by property, finding lenders “needing little encouragement”, says HTL.
“As a pure free market business model, it’s as close to perfect as you will find, and is therefore the reason why even during whole market turbulence, this sector will bounce early and bounce hard,” adds HTL’s Andrew Jolliffe.
