Byron Bay Hotel and Apartments Boutique Accommodation, situated at the centre of one of Australia’s most in-demand leisure destinations, is being brought to market is being brought to market as part of the orderly divestment of hotel assets by Elanor Hotel Fund.

The Property sits at the heart of the iconic Byron Bay, Australia’s most eastern point, which is home to a vibrant cultural scene, including festivals and a range of culinary offerings, set to a series of dramatic natural vistas.

Commenting on the opportunity, Pete Harper, Managing Director of JLL Hotels & Hospitality noted, “Byron Bay has gone from strength to strength as a leisure, lifestyle and cultural destination, becoming an Australian icon that is now recognised across the globe. As this recognition and reputation has grown, so has demand for prime real estate in a destination that is quintessentially Australian beach town”.

Sitting on a prime location close to Jonson Street, the property comprises 43 rooms and apartments, as well as six retail tenancies, providing a unique blend of income profiles.

The accommodation offering ranges from spacious king rooms, through one-, two- and three-bedroom apartments, and with vacant possession available, an incoming investor can deploy a range of asset management and value-add strategies.

Accessibility is outstanding, with Ballina and Gold Coast airports being 30 and 50-minute drive respectively, and Brisbane International Airport only a two-hour drive away, providing a range of options for the 2.4m visitors that the town receives annually.

This accessibility, in part, being a contributing factor to the transformation of Byron into a luxury beachside destination that is home to both a significant local community and tourists from across the globe.

Commenting further, Mr Harper noted, “Byron Bay, the Northern New South Wales region, and the Gold Coast, which is just a short drive away, has seen phenomenal trading performance coming out of COVID.

"The demand supply balance has remained in owners’ favour, especially in view of rising construction costs, and we have seen savvy owners generate significant returns through carefully thought-out strategies in these regions. The room configuration of the Byron Bay Hotel and Apartments, positions itself ideally for the guest profile within market, and with vacant possession available, we look forward to seeing the next chapter in the life of this exciting asset”.

Providing further catalyst for the market is the decision by Byron Shire Council to limit non-hosted short-term accommodations from 180 days to 60 days, effective from September 2024. This legislation being designed to return homes to long-term rental and there by addressing housing concerns, whilst also likely increasing demand for hotel accommodation.

Concluding, Mr Harper commented, “In recent sales campaigns that JLL has orchestrated, we have seen significant and varied interest in value-add coastal assets. Byron itself has seen a range of capital, including private equity, ultra-high net worths and owner-operators enter the market over the past couple of years, with the characteristics on offer here we are expecting a range of interest from both domestic and international purchasers”.

JLL Hotels & Hospitality Group remains the leading advisor for coastal properties in Australia having transacted approximately $400m of sales in the past twelve months in Southeast Queensland and Northern New South Wales alone.

Notable transactions included the $192m Sheraton Grand Mirage Gold Coast in a record transaction for Queensland, followed by the sales of Mercure Kawana Waters to the NRL in late 2023, Vali Byron Bay for circa. $30m in late 2023 and Angourie Resort in Yamba. These sales were followed by the record-breaking deal for the Blue Dolphin Caravan Park in Yamba to NRMA.

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