A motor lodge in Liverpool, Australia, 20 miles southwest of Sydney, has sold for around US$17 million, a sign that markets outside Australia's CBDs are performing at peak levels.
The Sydney Morning Herald reports that a private family paid the amount for the El Toro Motor Inn Hotel, Liverpool. JLL Hotels & Hospitality sold the property on behalf of Lantern Hotel Group.
The sale comes as more than AUS$100 million of pubs and hotels have changed hands in the past six months, ranging from suburban sites at the Northern beaches, and from Paddington to Liverpool, SMH reports.
The El Toro Motor Inn includes 29 gaming machines, 55 motel rooms and occupies a 1.4 hectare site area.
In a short statement to the ASX, Lantern's executive director, Russell Naylor, said the price is a premium to the hotel's December 2014 carrying value, and will increase net asset value per security (before costs) from 11.5cps to 12.4cps (based on Lantern's 31 December 2014 carrying value and balance sheet adjusted for the sale of the Five Dock bottleshop land which settled in June this year).
"The transaction follows the recent sale of the Macquarie Hotel in the Liverpool CBD for $25 million, also sold by JLL, further evidencing the market engagement with the Liverpool growth story as NSW's designated third city and earmarked for circa 500,000 square metres of additional commercial and retail development," said John Musca, the hotel's selling agent.
Australia transaction volumes in 2014 reached a record US$2.2 billion.