The south-east Queensland-based Taphouse Group has listed its big Coolangatta Sands Hotel in the Gold Coast.
The two-level Sands holds a generous corner lot, surrounded by tourism magnets such as Kirra Beach and Snapper Rocks, adjacent the bustling 33,000sqm Strand retail precinct and near the expanded Gold Coast International airport.
The classic Queensland-style pub, built 1923, occupies much of its 1,067sqm site, but with development potential courtesy of an 84-metre height limit.
It underwent a significant renovation by Taphouse Group in 2016 and shows consistent trading across bar, 25 accommodation rooms, functions, and a gaming room with 40 EGMs, under a 7-day 2am late licence. It also has the only midnight bottleshop licence in the area.
The pub offers varied growth opportunities, notably the gaming offering, which would benefit from upgraded hardware and has the ability to increase to 45 machines. Another operator may also see benefit in relocating the space toward the front of the hotel.
Industry sources suggest when compared to similar assets, the Sands could see sale price in the mid- to high teens.
Taphouse has put it to market through HTL Property’s Andrew Jolliffe, Dan Dragicevich and Glenn Price, who note the increasing instance of Queensland pub assets attracting acquisitive groups, such as Redcape’s big-ticket purchase of the Rising Sun and RMS Group buying Alfred & Constance.
Investors from both sides of the Queensland border are expected to be interested, although local knowledge may prove the edge.
“We anticipate that astute investors will swiftly identify value in the commercial advantage enjoyed by the 12am retail liquor licence, and separate ability to add detached bottle shops if desired,” says Jolliffe.
“Separately, the potential and very valuable 23-storey development height capacity inherent to the site will serve to underwrite the downstream alternative and mixed-use value of this unique property.”
The Coolangatta Sands Hotel freehold going concern is being sold via an Expressions of Interest campaign, concluding in March.