Hotel for Sale – Ibis Budget Fawkner
JLL Hotels & Hospitality’s Peter Harper and Nick MacFie, have been exclusively retained to market for sale the ibis Budget Fawkner, Victoria.
Occupying a prominent 4,139sqm site on the corner of the Western Ring Road and Sydney Road, Ibis Budget Fawkner is located 15 kilometres north of the CBD, 10 minutes from Melbourne Airport and at the doorstep of the booming northern suburbs. It offers 103 well-presented guest rooms, a breakfast room and extensive carparking.
The hotel has demonstrated strong historical trading performances with excellent growth over the past few years. Currently managed by Accor, it is available with vacant possession of management.
The property has witnessed considerable growth and development of its immediate surrounds. “Due to its excellent connectivity and central location, the property has aways traded well. However, with Melbourne’s northern suburbs booming in the past few years, there is clear opportunity for further growth,” said Nick MacFie.
Inline with a number of hotel and motel sales across metropolitan Melbourne in recent years, strong interest is expected from owner-operators, high net worth individuals and investment funds. In 2022, 54 hotel transactions occurred nationally which is a significant increase on the historical average of 39 per annum. This was almost entirely due to an increased focus on metropolitan and regional assets in the mid-markets space as investors look to expand their portfolios and further drive strategies.
The ibis Budget Dandenong is also being offered for sale by JLL. Both assets are for sale via an Expressions of Interest campaign.
Two of Melbourne’s best performing metropolitan hotels, investors can acquire these assets either in-one-line or individually.
Assets such as ibis Budget Fawkner and Dandenong both typify the types of opportunities that have been most sought in this period of heightened activity.
The properties are owned by Iris Capital who acquired it as part of the 17-asset AccorInvest Portfolio in 2021. Chief Executive Officer, Sam Arnaout, said “Our group has evolved considerably in the past couple of years headlined by major development projects in Newcastle and the Gold Coast. With no intentions to expand in Victoria, it made sense to capitalise on investor interest and re-direct the proceeds into the core focus and future of our business.”