Allawah Hotel sells for $34 million

The Allawah Hotel has been sold to Justin Hemmes' Merivale Group for a reported $34 million.

Justin Hemmes has about 70 hotels, pubs and restaurants including The Ivy in the CBD, The Beresford at Sydney Hills, the 3 Weeds at Rozell, The Queens Hotel at Enmore, The Royal at Bondi, The Collaroy and the Newport Hotel.

The Allawah Hotel was sold by the White and Partners which bought into the hotel in September, 2017 for around $30 million.

It was previously purchased by the Feros family's JDA Hotels in 2007 which kept an ownership stake and continued to manage the hotel.

The 1274sqm hotel, situated at 470 Railway Parade opposite Allawah Railway Station, is ranked 145th in NSW top 200 gaming rankings.

It has 30 poker machines and has development approval to renovate the gaming room.

The hotel reportedly has a revenue return of more than $9 million annually.

The sale was handled by HTL Property.

It was advertised as having an expansive 1,290sqm footprint across two levels with "very favourable development controls" with "all the core trading attributes of a high performing venue" including a 3am licence and 30 gaming machines.

It has DA approval to "enhance the current offering significantly" and an "enviable mix of trade across all departments".

Last year, the Allawah Hotel was nominated for Best Casual Dining Venue - City Southern, in the AHA NSW Awards for Excellence.

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