Crowne Plaza Surfers Paradise Resort on sale
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The Crowne Plaza Surfers Paradise and associated assets have been put on the market.
The hotel’s Singaporean owners are testing the appetite for Gold Coast hotels and price expectations are now sitting north of $100 million.
The resort complex, sitting on a 1.3 hectare site, comprises the 269-room Crowne Plaza Hotel along with management rights for the 104-room Gold Tower, retail space, a tavern, 15 function venues and multiple food and beverage outlets, including Queensland's only revolving restaurant.
It is now operated by IHG.
The offering for investors comes with a development site which already has approval for 234 apartments in a 46-level tower.
The hotel is located on the Gold Coast Highway, between the two hubs of Surfers Paradise and Broadbeach.
It is also directly connected to the Gold Coast light rail with a terminal in front of the hotel.
Wayne Bunz of CBRE Hotels and Jonathan O'Brien of CBRE Gold Coast are managing the sale and they are doing it through an international expressions of interest campaign, for sale as a single entity or as individual parts.
According to CBRE, the owners are divesting their only Australian hotel asset to capitalise on a buoyant investment market and strong investor appetite.
CBRE believes vacant possession combined with the resort’s prime location, value enhancement options and the strong fundamentals of the Gold Coast hotel market will attract investors.
According to analysts STR, the Gold Coast has been boosted by the recent Commonwealth Games in April.
It stands out as the best performing market in Australia for the year to date with revenue per available room growth of 14.4 per cent.
The sale comes three years after asset manager Xgenesis bought it for $70 million from another private Singapore company, Cockpit Hotels.
It also follows $80 million listing of the 169-room five star Hilton Hotel in Surfers Paradise by its Chinese owners.
Leon Gettler - 31st July 2018
