Iconic uni student stomping ground on the market

A crowd at the Telegraph Hotel.

A ICONIC hotel is up for sale and a new owner could bring big changes with the property described as the last unencumbered redevelopment site on Hobart’s waterfront.

The Telegraph Hotel, on the corner of Morrison St and Brooke St in Hobart’s CBD has been trading successfully under the ownership of one family since 1993 and is a popular haunt with university students.

Cumulus Studio has already undertaken some preliminary planning and design work to identity the best development options for the Art Deco pub.

An artist’s impression in the tender documents shows the Telegraph Hotel as a five-floor building with high-end apartments above the existing layout and underground parking beneath.

NAI Harcourts says the property has secure cash flow with a four-year lease to the Hotel Banc Group which operates several Hobart pubs and restaurants. The lease expires in 2021.

“As the property is not listed on the Tasmanian Heritage Register development is possible subject to council approval,” the tender document says.

The original hotel was established in 1858 as the Electric Telegraph Hotel and was renamed as the Telegraph in 1877.

Following a fire in circa-1939, the hotel was rebuilt and renamed around 1993 as the Brooke Street Bar and Cafe. It became the Telegraph again in the early 2000s.

It is the first time the pub has been offered for sale in 27 years and in a tight market interest is expected to be strong.

One of the pub’s two owners, Cobra International director Brendon Bourke said the Telegraph Hotel had a guaranteed cashflow from a strong tenant with minimum annual four per cent rent increases.

Mr Bourke said it also had potential for future gaming machines with changes to poker machine rules coming in 2023.

“While acquisition of the Telegraph Hotel will result in an immediate and strong cash flow, its unique location and proximity to the historic Hobart waterfront provides the extraordinary opportunity to undertake future development of the site for a range of uses including retail; hotel and serviced apartments; food and hospitality; and luxury apartments,” Harcourts said.

“The Telegraph Hotel is the last unencumbered redevelopment site on one of the world’s great waterfront precincts.”

The property is offered for Sale by Tender by Warrick Hobart from NAI Harcourts Hobart. The tender closes at 5pm on March 27.

Source link