National brokerage agency, HTL Property, has today confirmed the sale of Darwin’s popular Parap Tavern to Charter Hall’s Long WALE Investment Partnership (LWIP).
The sale, conducted by the firm’s Northern Australia specialists Brent McCarthy and Glenn Price, was conducted on behalf of the Dowling family; owners of the well known hotel for in excess of 70 years.
Leased to Woolworths Group’s dedicated hospitality arm ALH until 2084, the property has been a regular top 10 state ranked gaming hotel, and is known fondly for its high quality food, beverage and retail liquor business.
“We’ve been fortunate to represent a number of significant top end generational family organisations in multiple deals covering both the Northern Territory, and Far North Queensland” advised HTL Property Director, Brent McCarthy.
“Whether that be vending ALH themselves into assets, or in the case of our recent mandate with the Dowling family, running a process to identify an applicable suitor for an A grade property asset backed by a robust covenant such as that which ALH promotes” McCarthy concluded.
“The circa $20m sale price achieved and resultant yield at 5.65% is material not only in the context of Northern Australia, but also when viewed through a national landscape lens” commented HTL Property Managing Director, Andrew Jolliffe.
“Accordingly, and following on from our two freehold investment sales earlier this year of Sydney’s Gregory Hills Hotel ($40m) and Brisbane’s Acacia Ridge Hotel ($20m) to listed property trust Hotel Property Investments (ASX:HPI), we are flagging the re-emergence of strong capital inflows towards investment grade hospitality assets of both traditional (pubs) and accommodation based hospitality genres” Jolliffe concluded.
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