The Espy sold for $64m to Cohen Family brokered by Gorman Allard Shelton
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The Espy sold for $64m to Cohen Family brokered by Gorman Allard Shelton
The St Kilda icon the Hotel Esplanade sold for $64 million to the Cohen Family owners of The Block Arcade on Collins Street. Sold on behalf of Sand Hill Road, founders Andy and Matt Mullins, Andrew Larke, Doug Maskiell and Tom Birch, brokered by Gorman Allard Shelton’s Joseph Walton and Jonathon McCormack.
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The Espy - St Kilda icon the Hotel Esplanade sold for $64 million -
The St Kilda icon the Hotel Esplanade sold for $64 million
The St Kilda icon the Hotel Esplanade sold for $64 million to the Cohen Family owners of The Block Arcade on Collins Street. Sold on behalf of Sand Hill Road, founders Andy and Matt Mullins, Andrew Larke, Doug Maskiell and Tom Birch, brokered by Gorman Allard Shelton’s Joseph Walton and Jonathon McCormack.
The Espy freehold was for sale via a expression of interest campaign after Sand Hill Road sold the hotel’s leasehold to Australian Venue Co, managed by Gorman Allard Shelton’s Joseph Walton and Jonathon McCormack.
At the time Mr Walton said the landmark hotel at 11 The Esplanade, St Kilda is expected to sell for around $70 million.
Mr Walton said, “we’re anticipating strong interest in the offering from major domestic, interstate and international buyers, driven not only by the property’s rich history and iconic status but more particularly, its 20-year lease to Australian Venue Co.”
The Australian Venue Co is a substantial hospitality operator with a portfolio of 211 venues across Australia and New Zealand. The tenant pays a net passing income of $3.15 million on the property plus outgoings and GST. During the EOI campaign, Mr Walton commented that the property is truly a once in a lifetime investment opportunity, given its particularly strong lease tenure to a blue-chip business.
The impressive five-level freehold is located directly opposite St Kilda’s popular foreshore precinct and consists of a substantial heritage building constructed in 1878 with a net lettable area of 3,200 square metres.
Hotel Esplanade has undergone recent refurbishment throughout reopening in 2018 and becoming one of Melbourne’s hottest hospitality establishments. Accommodation includes 12 bars, two restaurants, cocktail rooms, function rooms, the Gershwin room with a live stage and terrace with retractable roof.
A grand dame of the seaside, the Hotel Esplanade was originally built in 1878 as a palatial, oceanfront resort for Melbourne’s wealthy elite. Fuelled by Victoria’s gold rush era, it was a time of prosperity for Melbourne. A rail connection to St Kilda had opened in 1857 and grand mansions dotted St Kilda’s landscape.
During this golden age, Melbourne’s most prominent architects, Smith & Johnson, developed the site of the New Bath Hotel into the Hotel Esplanade. Italianate architecture, inspired by Italian palazzo style defined the design. Close to the city and beside the sea, St Kilda was a luxury playground and holiday retreat for the rich and influential. The hotel attracted its fair share of notable visitors including American writer Mark Twain and French actress, Sarah Bernhardt.
To request a sales analysis please contact the selling agents Gorman Allard Shelton’s Joseph Walton and Jonathon McCormack via the below contact details.
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