The Novotel Brisbane on Creek St.
The Novotel Brisbane on Creek St.

Travel giant puts 23 hotels on the market

FRENCH hotel giant Accor's restructure of its Australian operations has taken another step with its investment platform AccorInvest placing a swag of its local assets and lease interests - including three from Queensland - on the market.

The AccorInvest Australian Hotel Portfolio is made up of 23 hotels totalling 1797 rooms across Sydney, Melbourne, Canberra, Brisbane, Perth and several major regional cities.

The three Queensland properties are the freehold of the 93-room Ibis Budget Brisbane Airport in Hendra and the leaseholds of the 296-room Novotel Brisbane at 200 Creek St and the 412-room Ibis Brisbane and Mercure Brisbane at 16 Ann St in the CBD.

The sale through JLL Hotels & Hospitality Group marks another shake-up of Accor's structure having recently sold a 55 per cent stake of AccorInvest to some of the world's biggest sovereign wealth funds and institutional investors for almost $7 billion.

It also recently wrapped up the purchase of Australia's second largest hotel and resort operator Mantra for $1.2 billion.

Ibis Budget Brisbane Airport Hotel.
Ibis Budget Brisbane Airport Hotel.

JLL Hotels & Hospitality Group's Craig Collins and Peter Harper are handling the sale of the portfolio through an expressions of interest campaign.

Mr Collins said: "Never before has an offering of this nature been presented to the open market in Australia."

"The pure scale of this portfolio and its diversity - in terms of location, market positioning and income profile - presents investors with an opportunity to immediately establish an unparalleled foothold in one of Asia Pacific's most highly sought after hotel investment destinations."

"Economy hotels are a highly proven and successful hotel model in the Australian market. Their typically low operating costs and high level of profitability make them very attractive investments."

Mr Harper said the hotels were well established in their respective markets and occupied a combined 54,500sq m of land.

"Furthermore, there is significant potential for both trading and capital value upside as … a number of assets are positioned in key economic growth areas," he said.

"The sale offering comes at a time when the Australian hotel market is experiencing unprecedented investor interest and we expect that a wide range of groups will be drawn to the very attractive fundamentals of the individual hotels and portfolio as a whole.

UPDATE: Cyclist impaled at boardwalk in stable condition

premium_icon UPDATE: Cyclist impaled at boardwalk in stable condition

The cyclist impaled last week is in a stable condition in Newcastle.

Community rallies for boy after horror accident

premium_icon Community rallies for boy after horror accident

"He is a fighter and I'm sure he will pull through this."

Fireys called to rescue 9yo near Corindi

premium_icon Fireys called to rescue 9yo near Corindi

Boy taken to hospital in third bike incident in area within past few weeks