This article is from the Australian Property Journal archive
LOCAL developer Peregrine Projects has bought the well-known Bridie O’Reilly’s pub in Brunswick after auction for $6.03 million, reflecting a yield of 4.23%.
Colliers International’s Guy Wells and Pat Connolly, in conjunction with Jonathon McCormack and Alex Ham of Gross Waddell, sold the popular pub at 29 Sydney Rd immediately after auction.
The property was sold on behalf of local builder and investor John Connellan, who had held the hotel for 18 years after redeveloping it for The Bridie O’Reilly group.
Wells said the prominent corner hotel was sold after multiple parties competed at auction. The opening bid was $5 million.
It was purchased by developer Peregrine Projects which plans retain the original heritage corner pub and develop up to 60 apartments over five levels on the remainder of the block.
“The strong sale price reflects the current hunger for corner sites in well located positions with holding income. This property had the added benefit of redevelopment potential and a demolition clause in the lease, which intensified the competition,” Wells said.
Formerly known as the Sarah Sands Hotel, it was extensively refurbished in 1997 and now operates as an Irish themed pub and entertainment venue. The property comprises a ground floor lounge area, large dining room nightclub area and outdoor courtyard. The first floor provides various offices and storage areas along with a former managers residence.
Wells said the 1,120 sqm site provides a unique development opportunity, and it has been earmarked by the Moreland City Council as having the potential for a five storey development within the Brunswick Structure Plan.
McCormack said this section of Sydney and Brunswick roads comprises a mixture of uses, including smaller retail shops, restaurants and cafes along with smaller offices and older industrial use premises, many of which have been converted to residential apartments over recent years.
Australian Property Journal
