Purpose Built Pub in Regional Growth Centre to Pique National Interest

Waratah Hotel Management has announced that it will divest its highly acclaimed Royal on 99 in the major regional Queensland town of Roma.

Purpose-built and re-opened in 2016 after a catastrophic fire to the previous venue, “99” has become a local’s mainstay; offering a well-rounded business with a modern gaming fleet of 18 machines, numerous and spacious bars including a sports bar with TAB, a cocktail lounge and an up-to-date bistro which includes footpath dining.

The trusted expert agency HTL Property will handle the sales campaign, and who has previously sold multiple assets for Waratah in both Queensland and NSW.

The sale process will be managed by HTL Queensland Directors Glenn Price and Brent McCarthy who, on behalf of Waratah, last year sold the Tandara Hotel Sarina to national pub operator Endeavour Group. Endeavour Group operate the largest retail drinks network under the Dan Murphy’s & BWS Brands. They also run the country’s largest portfolio of licenced Hotels.

Director of Waratah Group Darren Baker when asked about the sale suggested “The Royal on 99 has been a fantastic pub for our group throughout our tenure; and it is reluctantly that we look to move the asset on” advised Waratah Group Director, Darren Baker.

“Currently, our portfolio is centric to NSW, Townsville and the Brisbane CBD; which leaves “99” as an outlier within our group, and which has therefore led to our decision to divest this asset and to re-deploy the surplus funds into other assets closer to our core business operations” Baker added.

With an impressively rounded business, the asset also attracts passive income from a Subway tenancy located on an adjoining but separate title, and which could also enable an expansion of the gaming room in order to further drive the business.

“Main Regional Centres such as Roma have been highly sought by corporate entities, PE Funds, and family office groups in recent times” commented HTL Property Director, Glenn Price.

“Considered a secure and stable foothold in the Hotel sector, and enjoying limited competition compared to the major cities, regional Queensland continues to be a growth area for trade and the reason they (pubs) are in the cross hairs of numerous investor groups” added Price.

“There are numerous new investor groups entering the sector regionally, and shortly we (HTL) will announce multiple sales in Major Regional areas” advised HTL Property Director, Brent McCarthy.

“With the current purchaser demand firmly focused on securing quality and large scale assets, both existing and new entrants are set to jostle for A-grade assets; similar to what has been experienced for a number of years now in the South East of Qld” McCarthy concluded.

End.