The 25 room Victoria Court Hotel Sydney is being brought to market for the first time in two decades.
CBRE Hotels’ Andrew Jackson and Paul Kapiris have been appointed to steer the sale of the freehold going concern offering on behalf of the vendor. The property is expected to generate strong interest from both hoteliers and residential purchasers from Australia and throughout Asia.
Mr Jackson commented; “These boutique hotel properties are very tightly held in Sydney. Opportunities for private investors to enter the Sydney hotel market are few and far between. Investors know that these assets have performed very strongly over the past decade; they are an easy to operate cash flow business and we expect them to continue to perform well in the future.”
“Sydney is considered to be perhaps the most desirable hotel market in the country. The consistent business demand and the fact that it is number one on the list of places to visit for tourists means that it has performed well in the past and will continue to do so.
Mr Kapiris commented; “The Victoria Court Hotel is made up of two Grand Victorian Terraces, zoned “Mixed Use”. The property can continue its life as a hotel, or it may appeal to the residential investor keen on the cosmopolitan lifestyle of Potts Point. There may also be development potential at the rear of the property (STCA).”
The property is within easy walking distance to Sydney’s main attractions, including the Sydney Harbour, the Harbour Bridge, Opera House, Royal Botanic Gardens, State Theatre, National Maritime Museum of Australia, Art Gallery of NSW and Chinatown. It is approximately 1.5km from the centre of the CBD, and only 12km to the Sydney Domestic and International Airports.
Many are aware of the influx of Chinese buyers in the Sydney residential market, but few are aware of the staggering Chinese tourist numbers predicted for the coming decade. The property is also potentially suitable as an investment to qualify for the business migration visa.
Mr Kapiris commented; “These huge numbers should bode well for affordable accommodation operators, particularly those in inner city Sydney.”
A recent Boston Consulting Group report has predicted that Chinese travelers to Australia and New Zealand will rise from 910,000 in 2012 to 2.2 million in 2020.
In 2013, 97 million Chinese visitors travelled overseas, beating the 2012 mark by 14 million, according to the China National Tourism Administration.
The Victoria Court Hotel Sydney will be auctioned on 13 March 2014.
For more information visit www.cbre.com.au.