Universal Hotels has taken another step in its expansion plans with acquisition of the top-performing Moko Hotel in Eastwood, from veteran hotelier Paul Dirou.
Opening late 2014 as a modern Korean restaurant with a hotel licence, Moko has evolved into an efficient and highly popular 695sqm pub, providing food & beverage, gaming and live music seven days a week.
Eastwood is a traditionally strong gaming precinct, also keeping the Top50 Landmark and Eastwood hotels. The Moko’s operation, with 30 EGMs, is ranked #185.
“It has been a terrific experience and a time that we will look upon fondly,” says Dirou, who has held the hotel, with partners, for more than a decade.
“The pub and the community of Eastwood have been very good to us, and we wish Universal the best of luck moving forward.”
The Kospetas family’s group take up the long-term lease with almost 30 years remaining.
It is their latest move in a year of shake-up, following divestment of the leasehold interest in Darling Pavilion, and at the Newtown Hotel, which incorporated acquisition of the freehold going concern interest in Lord Roberts Hotel.
CEO Harris Kospetas says they “have a few things going on”, as their Oxford Hotel becomes central to the new Oxford Street markets and with another purchase announcement pending, but Moko is about a bigger play.
“Traditionally we have been focused on the city and inner west, but are very excited to establish ourselves in new and thriving areas of Sydney such as Eastwood,” he explains.
The off-market sale was through JLL Hotels’ Kate MacDonald and Ben McDonald, who say Moko’s strong revenue across departments makes it one of the biggest leasehold pub sales in NSW, after the Glenquarie Tavern, sold late 2022, and Criterion Hotel in the Sydney CBD, which transacted last year.
“Long-term leases with favourable terms are exceptionally rare to find,” notes MacDonald.
Engaged through Dirou and partners, the agents worked to meet Universal’s brief to identify strategic opportunities that supported their growth plans.
“These high-yield ventures, particularly those with compact footprints, offer efficient complementary assets for portfolios seeking to diversify revenue streams or offset other investments,” adds McDonald.
