Knight Frank Tasmania’s Richard Steedman and Matthew Wallace have been appointed to offer the Fountainside Hotel for sale a premier hotel property strategically situated at 40 Brooker Avenue, Hobart.

According to the agents, the offering presents an exceptional opportunity for both owner/operators and savvy investors alike.

Boasting a highly visible location at the gateway to the Hobart CBD, Fountainside is an iconic freehold property featuring extensive signage, making it a rare gem in today’s market.

With a lease in place until November 2024, the property offers immediate holding income, setting the stage for a seamless transition for prospective buyers.

Commenting on the listing, Richard Steedman remarked, "This property epitomises the essence of Tasmania’s bold strategy to emerge as a world-leading destination. Its prime location, coupled with its refurbishment and ample amenities, makes it an ideal investment for those seeking to capitalize on Tasmania’s burgeoning tourism sector.”

The hotel comprises 50 meticulously designed rooms, each offering a comfortable bedsit layout and private bathroom. Guests are treated to breathtaking views of the city, mountains, park, and serene water vistas, creating an unforgettable stay experience. The ground floor houses a welcoming reception area, a spacious dining room equipped with a commercial kitchen, and modern restroom facilities, ensuring convenience and comfort for guests.

Furthermore, Fountainside boasts 32 onsite car parks, providing ample space for guests and visitors. Its high-profile rooftop signage presents an additional revenue opportunity, further enhancing its investment potential.

Matthew Wallace added, "With its current lease agreement in place until November 2024, investors can step into a turnkey investment with immediate returns.

For the year ending December 2023 there were 1,257,800 visitors to Tasmania, representing 93% of the level of visitors pre Covid. These visitors stayed 12.2 million nights in the state and spent $3.633 billion. Although international visitors have been increasingly returning to the state, visitation overall was overwhelmingly interstate visitors (85%) with 1,065,700 mainland Australians visiting the state.

There were 207,500 international visitors who spent $3.4 million nights with a spend of $365.2 million. Tasmania is performing extremely well and once our international visitors return to our shores, the State Government is confident that the 2019 record level of 1.32 million visitors will be surpassed in 2024.

Annual occupancy from January 2023 to December 2023 was 73.3%. The median room rate for 2023 was up more than $13 from the previous year to $217.38, while the average yield was $159.32, also an increase from the corresponding 12 months. and prime location position it as a lucrative asset within Hobart's vibrant hospitality landscape."

Fountainside, located at 40 Brooker Avenue, Hobart, is being offered for sale via Expressions of Interest, closing Thursday, May 16, 2024, at 4:00 PM (AEST).

Related reading:

University of Tasmania offer Hotel Hobart for sale through Knight Frank Tasmania | The Hotel Conversation