The Vibe Hotel on Australia's Gold Coast is up for grabs. According to The Australian, the prime Surfers Paradise site, which now also includes the offer of the Helm Bar, is likely to attract $40 million as it could accommodate the next major skyscraper on the prized Australian coastline.
The hotel currently has 199 guest rooms and facilities including a restaurant and bars, but it will be offered with vacant possession by the vendors, the Toga Group and Greg Shand’s Barana.
The pair bought the then-Concorde hotel and tavern from Singaporean tycoon Ong Beng Seng for $27.5 million ten years ago. Values have since jumped as local and international developers chase Gold Coast sites with the announcement of the Commonwealth Games and the light rail lifting interest.
The hotel is now managed by Vibe Hotel Services, part of the TFE Hotels Group, under an agreement that allows for vacant possession, allowing for either a new owner to rebrand or strike a fresh management deal.
But, as The Australian noted, the real opportunity is in the redevelopment opportunity on the freehold site. DBI architects are reportedly preparing a redevelopment plan as McVay Real Estate handles the sale of the hotel.
“A lower Australian dollar and an expanded direct international flight capacity into the Gold Coast has spurred a considerable increase in the performance of hospitality assets, both from a domestic and international perspective,” agent Will McVay said.