Iris Capital purchase a fourth Newcastle Pub, Shaft Tavern
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Iris Capital purchase a fourth Newcastle Pub, Shaft Tavern
Newcastle's Shaft Tavern has sold to Sam Arnaout's Iris Capital for a rumoured $12 million, in a deal negotiated by Blake Edwards and Dan Dragicevich of HTL Property, and Deane Moore from Moore & Moore Real Estate.
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HTL PropertyIris Capital purchase a fourth Newcastle Pub, Shaft Tavern
HTL Property, in conjunction with Deane Moore from Moore & Moore Real Estate, are pleased to announce the sale of one of the most coveted hotel assets to hit the market in New South Wales this year.
The asset comprises a large format tavern on over 6,000m2 of land, with 26 gaming entitlements and an approval to build a 16 room motel on the site.
The Shaft Tavern was an eagerly awaited listing which garnered strong interest from both Newcastle and Sydney publicans alike, with industry sources indicating a sale price of $12 million.
"The asset was perceived by the market to be under performing, particularly in gaming. There was widespread belief that a more enthusiastic operator who was willing to invest capex into the investment would be able to unlock the tavern's potential, creating one of the most successful gaming assets outside Sydney," HTL Property’s Director Blake Edwards stated.
HTL Property Director, Blake Edwards
Offered for sale via a targeted Expression of Interest process, the asset exchanged hours after the closing date of second round offers to Iris Capital's Sam Arnaout.
“The Shaft Tavern will perfectly complement our growing stable of businesses and development projects in the Hunter region. We will enact a major renovation of the operations in the New Year and look forward to servicing the locals of Elermore Vale”, commented Iris Capitals CEO Sam Arnaout.
"The hotel market remains strong, especially in regional areas, despite other real estate sectors being under pressure from the banking royal commission and other factors" noted National Director of HTL Dan Dragicevich.
National Director of HTL, Dan Dragicevich
This transaction is the latest in a string of hotel purchases in the Newcastle/Hunter Region by Iris Capital this year, following the purchase of Peden's Hotel in Cessnock, and Campbell Roger's portfolio which included Sydney Junction Hotel, Argenton Hotel and Gunyah Hotel.
See also: Newcastle pub portfolio sold to Iris Capital for $30m
"Iris Capital are investing heavily in the Newcastle / Hunter Region, The Shaft Tavern being the fifth transaction in as many months, representing over $50,000,000 in dollar value", noted Deane Moore, Managing Director of Moore & Moore Real Estate.
See also:
The Bells Hotel Sydney Woolloomooloo sold to Arthur Laundy prior to Auction
Redcape buys largest pub portfolio south of Sydney
Another famous Sydney Eastern Suburbs pub 'Bellevue Hotel' sold by HTL Property
