John Singleton sells Icebergs for about $15 million

John Singleton has done it again. He has sold one of Australia’s most famous restaurants — the Icebergs Dining Room and Bar at Bondi Beach — for about $15 million.

Icebergs was built in the 1960s and the building was in bad condition, riddled with concrete cancer. So Singleton stepped in to save it and stared down council opposition. In the end, he turned it into one of Australia’s best known eateries.

At the time, Singo said buying it wasn’t that big a deal. The Iceberg Room and Bar had become one of Australia’s most prominent locations. He said he was happy to do his bit to save the Icebergs.

It’s all part of the process that he and his investor mates, ex-Qantas chief executive Geoff Dixon, financier Mark Carnegie and insurer Suncorp have been going through, selling off their pubs. So far they have offloaded at least $100 million worth of assets. Including well-known Sydney pubs, like Kinselas and the Marlborough Hotel.

The O’Brien Group, the country’s largest private hospitality company, which also runs stadiums and pubs in Melbourne and Brisbane, bought Singo’s stake in the restaurant building.

As it is, Singleton has a lease over the property. Built on crown land, the lease runs until 2042.

Chef Maurice Terzini operates the restaurant and bar. His company holds the lease to Mr Singleton until 2036.

The lease deal includes options, giving Terzini’s company security over the spot for the next 18 years.

Singleton had been looking for a “favourable exit” from the property.

But selling agent Andrew Jolliffe said Singo had made it clear to him that it was “not only a matter of price”.

“John patently saw himself as the custodian of an Australian icon over the course of his ownership, and we are very pleased that the successful purchasers are people of significant credibility and longstanding hospitality business ownership in respect of iconic Australian venues,” Mr Jolliffe told The Australian.

Leon Getler 7th June 2018.