Grand Central Hotel and Normanby Hotel lose $8M in coronavirus lockdown

The publican behind two of Brisbane’s most historic hotels says he’s lost millions in revenue since the lockdown but he’s refusing to stand still — wait until you see what he’s been planning for patrons since the lockdown.

HISTORIC watering holes Grand Central Hotel and The Normanby have lost a combined $8 million in revenue during the shutdown but the publican has used the time to make upgrades.

The history of the Grand Central Hotel, in the heart of the CBD at Central Railway Station, dates back to 1901 while The Normanby at Red Hill dates back to 1890.

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Pelathon managing director Jaz Mooney owns the two hotels — he only took on The Normanby last year and just dropped $3.5 million on a stunning refurbishment.

“It’s all been a bit of a sh*t fight … Nothing’s been easy. This is a traumatic event for everybody,” he said.

“In terms of revenue, it’s cost about, probably so far seven or eight million dollars in turnover, and in profit, it’s probably cost $200,000-$300,000.

Pub owner Jaz Mooney, left, and Paul Fraser from CBRE at the Grand Central Hotel in Brisbane.

“Everything is fairly significant — this is an event nobody could have ever dreamt of except smart people who warn us about pandemics.”

He said luckily everybody was working together to ensure cashflow through each other’s businesses.

Mr Mooney said he had used the shutdown to “renovate and innovate” at the two hotels and that “standstill is not an option”.

The recently renovated historic Normanby Hotel in Red Hill. Picture: AAP/Richard Walker

He said he would upgrade The Grand Central with a new bar that doubles as a bottle shop plus install machines where customers can buy a glass of wine at the press of a button.

“You need to innovate or you’ll know you’ll get caught,” he said.

At the Normanby Hotel, he plans to install a playground, put in a TAB, and make upgrades to the gaming room.

Mr Mooney said he also had a priority to pay down debt, so he did not get hit with “a double whammy” when banks re-evaluated property prices — which he expected would fall.

An interior shot of the renovated Normanby Hotel in Red Hill. Picture: AAp/Richard Walker

“It might work out OK. But you’ve got to run fast and you’ve got to make sure you’re paying it off,” he said.

As the State Government flags June as the possible reopening time for restaurants and cafes, Mr Mooney said the path back to reopening was all about how to enforce social distancing.

“I think we’re closed five weeks today. Obviously, the government gave us 24 hour notice of closure,” he said.

“We (pubs and clubs) look like we’re going to be the first closed, and the last to reopen.”