One of Sydney’s Eastern Suburbs pub institutions, the Duke of Gloucester Hotel, has been listed for sale with a price tag of $30 million.
HTL Property’s Sam Handy and Daniel Dragicevich have been exclusively retained to steer the campaign that follows the sale of some other significant Eastern Suburbs pub sales including Woollahra’s Centennial Hotel, Bondi’s Royal Hotel and Bondi’s Icebergs Bar and Dining Room.
The pub, affectionately known by locals as the ‘DOG’, has been operated under management by the Good Beer Company on behalf of a private syndicate.
They apparently need the capital for the redevelopment of one of their other hotels — the Keg & Brew Hotel in Surry Hills.
That’s already under construction.
“We’ve had several unsolicited approaches to buy the DOG in recent times and decided to put it to market to focus on our redevelopment of the Keg & Brew”, according to the owner, John Azar.
The syndicate acquired the hotel off-market from Newhaven Hotels in 2015, reportedly for $17 million.
About $3.5 million was then spent on a renovation, refurbishment and reconfiguration.
The company said it had annual revenues of well in excess of $8 million.
It has a 2am liquor licence with 19 gaming machines attached.
HTL Property’s Director Sam Handy said the hotel’s machine holding could immediately be increased to 19 to the allowable 30.
The two-storey hotel is on a 746sqm landholding at the cross section of
Frenchmans Road and Clovelly Road in Randwick.
It’s over two levels and has three bars, two kitchens, TAB, designated gaming room and multiple outdoor areas.
Mr Handy said: “Whilst the business upside levers are obvious, it is expected that the underlying land and building value will excite a large segment of the market seeking prime property indexed to a stable and secure cash flow businesses”.
The Duke of Gloucester Hotel is being sold via Private Treaty.