“With easing of COVID hotel trade restrictions surrounding nightclubs, singing, dancing, weddings and funerals on March 30, the sales momentum continues unabated across swathes of the pub asset class, with transactions reaching liquidity levels not seen in over 15 years.”

The sales come in the lead up to the highly anticipated demerger of the ALH and Woolworths-owned Endeavour Drinks Group.

The mooted IPO or potential $10 billion-plus trade sale to potential suitors like global investment firm Carlyle Group, is expected to be resolved by June.

The Union Hotel is considered a North Sydney landmark and occupies a 784-square-meter site area with over 1200 sq m of trading floor space spread over two storeys, together with gaming machines, three bars, restaurant, function rooms and a large office ideal for trade conversion.

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Patrick Gallagher said “it’s the longest held hotel in the family, and we leave with feelings of ambivalence, sad to leave friends but looking forward to new ventures”.

Located on a prominent corner of arterial Blaxland Road, opposite the redeveloped Top Ryde shopping centre, the Royal has been completely renovated.

HTL Property’s Dan Dragicevich and Andrew Jolliffe, who recently sold the Ryan family’s Narwee Hotel and the Peterson’s Ivanhoe Hotel in Manly, said having originally sold the Royal to Mr Gallagher and his partner in 2014, “the deal for their successful exit was particularly satisfying to be involved in”.

“The Gallagher family have added considerable value during their tenure, adding additional machines, achieving extended trading hours as well as completely renovating the downstairs pub and activating the first-floor accommodation rooms,” Mr Dragicevich said.

“The Royal has always been a robust and proven cash flow generator, and as such it deserved a sale price commensurate with the material barriers to entry, including lack of available stock and the weight of investment capital looking for a foothold in the marketplace, the buyer universe is commonly challenged by.”