CBRE Hotels has been exclusively appointed to market the assets, on behalf of a private Singaporean family, through an International Expressions of Interest campaign, for sale in-one-line or individually. 

The individual components being offered comprise the Crowne Plaza Hotel with vacant possession, the management rights to the Gold Tower, the penthouse, the gaming tavern and/or the development site.

Wayne Bunz, National Director of CBRE Hotels told The Hotel Conversation, “The Gold Coast is one of the most sought-after hotel investment markets and is also one of the most tightly held, with opportunities to gain an investment foothold rare, especially with vacant possession, so this presents a significant opportunity.”

The offering provides diverse income streams, including the prominent 269-key resort, management rights for the Gold Tower (104 keys), a prestigious two-level penthouse, extensive retail space, a medium-rise residential building, a tavern offering 19 gaming machines, 15 function venues, a 261-space parking complex and multiple food and beverage outlets, including Queensland's only revolving restaurant with 360º views of the Gold Coast.

Click here to view the full listing on The Hotel Page.

The large 1.2ha landholding also offers additional development land with approval for 234 apartments across a 46-level tower. The zoning has no height restrictions, which allows for further apartments or an additional tower on the same site, subject to the relevant planning approvals.

Managing Director of CBRE Gold Coast, Jonathan O’Brien said, “There are very few sites of this scale available for development in this precinct, and this opportunity also offers holding income, allowing flexibility for a developer to immediately do the residential development or hold until the next development cycle”. 

Mr Bunz added, “Whilst the resort presents well with $2m spent on the central facilities over the last two years, a new owner has the scope and flexibility to carve out their dream and go far beyond what is already in place. We have engaged PlusArchitecture, who have prepared multiple concepts to provide to potential purchasers”. 

“These plans include elevating and expanding the pool to take advantage of the magnificent ocean and hinterland views, enhancing the yield of the site by adding two residential apartment towers, and reconfiguring and expanding the tavern and retail spaces”.

Mr Bunz noted that the ability to gain vacant possession coupled with the resort’s prime location, value enhancement options and the strong fundamentals of the Gold Coast hotel market would help underpin strong buyer interest.

“There is considerable upside and value enhancement opportunities, including reconfiguring the layout of the complex by converting under utilised space into income generating areas, expanding the retail and pub offering and repositioning the hotel to enhance profitability”, Mr Bunz said.

The resort fronts the Gold Coast Highway and is strategically positioned between the two hubs of Surfers Paradise and Broadbeach, in direct proximity to key demand generators including the Gold Coast Convention Centre, Star Casino, Pacific Fair Shopping Centre and the soon to be completed Jewel development. 

The property also offers direct connectivity to the Gold Coast light rail with a terminal in front of the hotel.

The sale plans coincided with the owners’ decision to divest their only Australian hotel asset, to capitalise on a buoyant investment market and strong investor appetite.

CBRE Hotels’ Senior Negotiator Hayley Manvell said, "Year to date the Gold Coast has been the best performing market in Australia with distance, with RevPAR growing 14.4%.

“While much of this can be attributed to the Commonwealth Games, the strong numbers have held up, with June RevPAR growth of 10%.”

Matthew Burke, Regional Manager for hotel benchmarking group STR, added; “The Gold Coast has experienced a long period of growth and currently trades on an annualised basis at near record occupancy of 72.8% with average rooms rates for the 12 months to June 2018 at a record of AU$197.42. Events like the XXI Commonwealth Games provide a short term direct performance boost to the norm but performance overall continues to grow and May and June’s monthly results demonstrate the continued growth to prior year.”

Click here to view the full listing on The Hotel Page.

To discuss the sale in further detail phone or email Wayne Bunz or Hayley Manvell via the below contact details.

See also:

Get to know Wayne Bunz, National Director of CBRE Hotels

Brisbane’s first luxury hotel openings in 20-years signal market renaissance

Brisbane's Emporium Hotel sold in $40m deal