Newtown Icon to Market After 42 Years

Newtown institution, Kuleto’s on King Street has been listed for sale amidst surging demand and limited supply for inner city fringe pub assets.

The hotel has been owned and operated under management by Donna Asensio for the better part of 42 years, with the now Melbourne-based hotelier signaling the strength of several recent unsolicited offers and retirement as the rationale behind the sale.

Sam Handy and Blake Edwards from HTL Property have been exclusively appointed to steer the sale process and advise that the asset represents an incredible opportunity to acquire an entry-level Newtown hotel enjoying a compelling mixture of food, beverage and gaming upside.

The Newtown precinct, famed for its quirky and eclectic vibe, is home to an estimated 40,000 residents; and separately attracts around 50,000 visitors every weekend.

“It’s widely considered that a pub in this location with a three level trading footprint and 3am extended trading approvals should be achieving much stronger patronage and revenue performance” suggested HTL Property Director Sam Handy

“Accordingly we foresee that an incoming operator will be able to rapidly build value into this asset with there existing several patent upside levers available to activate’ Handy added.

Formerly known as the Milton Hotel, the three storey building is prominently positioned within the northern end of Newtown; featuring a cluster of some of Sydney’s very best bars, restaurants, breweries and pubs. It is literally just metres from both the Marlborough and Newtown Hotels.

Currently positioned in the market as a cocktail bar, it is broadly accepted that Kuleto’s would benefit from an incoming operator repositioning the hotel with a revised food and beverage proposition, plus adding gaming machines to the ground bar.

Featuring a hotel liquor licence with rare 3am trading hour approval  (Monday to Saturday) on both the ground and first floor, the property is situated within a green zone SA2; so an incoming operator could quite easily buy or lease gaming machines.

The hotel is tipped to attract interest from several buyer segments most notably hoteliers, restaurateurs, bar operators and investors seeking an OpCo/PropCo investment model.

Kuleto’s is being sold via an Expression of Interest campaign closing Thursday 29 September 2022 (if not sold prior).

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