The freehold interest in The Tudor Inn Hotel for sale amid high demand for strategic income producing assets.The CBRE Melbourne team of Nathan Mufale, David Minty, Scott Hawthorne JJ Heng and Mathew George are marketing the 1281 Nepean Highway Cheltenham hotel for sale via a public tender process.

The property is being sold with a long term, triple net lease to ALH Group, which is 85.4% owned by Endeavour Group (soon to be demerged from Woolworths Group), Australia’s largest hotel operator with over 330 licensed venues.

With a net annual income of $592,855 per annum, the offering benefits from a seven- year lease expiring in 2028 with four, 10-year options.

The Tudor Inn occupies a strategic 4,789sqm landholding, which has a flexible Activity Centre Zoning and benefits from a circa 136 metre frontage and 60 car spaces.

It is positioned within walking distance of the Charman Road retail precinct and Cheltenham Train Station (and is just 500 metres from Westfield Southland Shopping Centre.

We’re anticipating strong interest in the offering driven by the property’s triple net lease, bankable landholding and long term future upside,” Mr Mufale said.

“Income producing assets underpinned by quality covenants with good lease tenure are highly sought after by opportunity-starved domestic, interstate and international investors at present.”

Mr Minty added, “Large Activity Centre landholdings rarely become available in such high exposure and tightly held precincts, especially properties like The Tudor Inn which offer such an attractive income stream.”

The listing follows CBRE’s transaction of the Hungry Jacks Altona North store, which achieved a record 3.75% yield for a Victorian Hungry Jacks investment following the receipt of 16 offers.

The tender process is due to close in July 2021.

To request a copy of the Information Memorandum please contact one of the CBRE marketing agents via the contact form below.

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