The wealthy Grollo family, which has for decades developed property at Victoria’s Mount Buller, is planning to sell a $5 million hospitality asset to a small investor for the first time as it also progresses plans to create a $1 billion institutional-grade fund of alpine and regional key worker housing.

The sale of the 811-square-metre Kooroora Hotel, built five years ago as part of a wider redevelopment of commercial and residential property in the Mount Buller Village, was the first asset it aimed to sell to an investor, rather than an owner-occupier business, Grollo Group director Martin Ansell said.