The transaction was brokered by Leon Alaban and Michael Harcourt of Savills, in an off market sale achieving a 4.88% yield for the hotel located in Beenleigh, south of Brisbane.

National Director of Savills Hotels, Leon Alaban said “the sale illustrated the massive ongoing demand for single tenant investments leased to blue-chip, listed operators such as ALH Group.”

ALH Group is a wholly owned subsidiary of Endeavour Group, Australia’s leading hospitality group with a market capitalisation of over $11.9 billion.

Situated on a 1,834sq m site, the Imperial Hotel comprises a two-level hotel complex featuring a main bar, sports and Keno bar and gaming room together with a drive-through BWS bottle shop.

Michael Harcourt said “the investment is underpinned by the long term 20 year net lease to the Australian Leisure and Hospitality Group (ALH Group) until October 2032 with options to 2082.”

“The property offered long term lease security and a quality covenant, which are key investment ingredients for both institutional and private investors,” Mr Harcourt said.

The Imperial Hotel is located in the CBD of Beenleigh, 35 kilometres south of Brisbane.