AUCTION: Which CQ pub is going under the hammer this month?
EAST ST's popular cafe, bar and nightclub, The Giddy Goat is set to go under the hammer later this month.
Owners, Rockhampton's Karl and Georgina Schamburg are looking to "move on the asset” after recently opening The Church, a functions venue hire on the corner of Derby and Boslover Sts.
The auction is listed through Burgess Rawson and Knight Frank with auctioneer Neale Crow who said he expected plenty of action on the day, if the property was not sold beforehand.
He said he anticipated an experienced investor in the hospitality industry would scoop up the property.
"Investors are always interested in Rockhampton,” Mr Crow said.
"Not a first time investor; someone who is comfortable with hotels and knows it.
"We're looking at an astute investor looking to go regional to add to their other assets and increase their yields.”
The Morning Bulletin recently reported the Bouldercombe Hotel had closed, due to liquidation.
While the new owners could be from interstate, Mr Crow said customers don't need to worry about a thing.
"It doesn't change the business, the business owners are still employing everyone and paying wages, it's not going to change anything,” he said.
"If we get an offer we will consider it, depending what the deal is.
The sale is for the free-hold title to the building, including the bar, upstairs areas and cafe.
The site is on 899m2 of land with 1915m2 of floor area in the three level building.
GIDDY GOAT AUCTION
Wednesday February 27, 11am
River Room, Crown Casino, Melbourne
Income per annum $363, 780
899m2 land, 1915 floor area
10 per cent net yield
Hotel and restaurant
Contact Neale Crow on 0418 886 162
Mr Crow expects an investor to snatch up the property as it yields 10 per cent with an estimated income of $363, 780 per annum.
The hotel/restaurant has under gone some major renovations, being totally gutted and redone in the past couple of years.
The downstairs cafe was closed for some time in 2016 when it was refitted to fit 80 extra seats.
New air-conditioning was put in and the extra outdoor eating area was added.
The current tenant Peter Trenerry, took over in January 2017 and recently renovated the front bar.
The lease has eight years left on it with two five year options.
"It's 18 years potentially of income over that time,” Mr Crow said.
"It is a good investment for someone who wants to sit back and let the money roll in.”
The Raglan Tavern is also for sale with the freehold and land on the market.
The building was bought for $1.38million in 2013. In 2017, land value was $455,000.
The block sits in a prime CBD location on a corner.
"From a long term point of view it's in the safe night precinct as well,” Mr Crow said.
"It looks after itself Monday to Friday with breakfast, lunch and dinner and then picks up trade on Friday and Saturday nights in the night club.”