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Last updated 14:54, November 22 2016
Former Wallaby Bill Young has beefed up his pub portfolio with the $30 million (A$28.75m) purchase of a Sydney hotel.
Young, who also owns the Concord West, the Palace Hotel in Mortlake and the Wisemans Ferry Inn Hotel, all in NSW, paid a 38 per cent premium to buy the freehold Five Dock Hotel from the Lantern Hotel Group on a yield of about 8 per cent.
"I am very pleased with the purchase," Young said on Tuesday.
Lantern is selling its assets as it prepares for a possible delisting.
It sold the Five Dock pub, in inner-western Sydney, through Andrew Jolliffe, Ray White Hotel's Asia Pacific director, who said demand was high for good-quality suburban pubs.
Jolliffe said the top billing sale of the Five Dock Hotel was brought about because of the quality of the property.
"In effect, the market had been anticipating the sale of this prominent hospitality asset for some time; and the interest generated from the beginning of the sale campaign was commensurately strong," Jolliffe said.
"The Five Dock Hotel has performed very well since the recent introduction by Lantern Hotels of some modest capital, and I wholly expect the successful purchaser to unlock the inherent value so patently available with the benefit of time."
At its annual meeting last month, Lantern was given the green light from investors to proceed with selling its remaining core Sydney hotels, ahead of a likely delisting and winding up.
http://www.stuff.co.nz/business/worl...-to-his-empire
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