The Acacia Ridge in Brisbane’s South West has been sold to a Sydney-based fund as hotel transactions in Australia reach fever pitch, reports The Urban Developer.
The hotel was originally bought in 2014 for AUD$16 million by Sydney hoteliers Peter Calligeros and partner Steve Farley. It sold off for approximately AUD$26 million.
“The Acacia Ridge Hotel is regarded as one of the most valuable, and therefore sought after hotel properties in Queensland; having recently undergone a strategic renovation which consequently catapulted the hotel’s state gaming ranking; consistently in the state’s top 10 hotels when ranked by profit,” said Andrew Jolliffe of Ray White, which marketed the hotel along with CBRE.
Co-agent for the deal, Glenn Price from CBRE Hotels said "the critical land size upon which the Acacia Ridge Hotel is located, a proportion of which is supplementary to the current hotel operation needs, provided the purchaser with ancillary mixed use development opportunities."
“Interest from Queensland, Victorian and NSW investors was particularly strong, as well as from some of our key clients we have relationships with out of our Northern Territory office,” Jolliffe said.
“The confluence of the historically low-interest-rate cycle, ready availability of senior debt, the low Australian dollar driving inbound revenues and the strength of weekly cash receipts at the point of sale, when collectively distilled, render the opportunity to acquire A grade hospitality property wholly compelling."