The Esplanade Hotel: An iconic St Kilda watering hole is on the market for $70m
A longstanding watering hole and music venue in the heart of St Kilda is on the market and the deal will welcome you into the fold of Melbourne’s history.
Property
Don't miss out on the headlines from Property. Followed categories will be added to My News.
The iconic Melbourne music venue in the heart of St Kilda, The Esplanade Hotel, is up for grabs with a $70m price tag.
This “once in a lifetime” opportunity to own one of Australia's oldest and most respected pubs comes with a freshly signed 20-year lease with the privately backed hospitality operator Australian Venue Company.
Built in 1878 and sprawled over five large storeys, The Espy has long been a popular destination for locals and out-of-towners, and was refurbished to its former glory by the Melbourne hospitality group Sand Hill Road in 2017.
Before the massive refurb the St Kilda landmark had been boarded up for two years, with some parts of the pub closed to the public for decades, and had fallen into disrepair.
The 18-month renovations restored the 3500sq m venue with 12 bars, two restaurants, live music stages, function rooms and a terrace — with a retractable roof — and reopened in 2018, licenced to serve 1696 people.
The building which sits at 11 The Esplanade on a prime slice of real estate, boasts views over the Port Phillip Bay and is directly opposite the suburb’s vibrant and popular foreshore.
Since its reopening, the destination has become a sought after spot to grab lunch, or watch a live band while soaking up the vibrant atmosphere.
The famed music room, the Gershwin Room, has hosted an impressive line-up of global artists over the decades but it’s the emerging and local acts the venue is renowned to support that draws in the punters.
Paul Kelly recorded one half of his second album live in front of a packed crowd in 1995 and Aussie golden boy John Farnham chose The Espy to launch his 2002 studio album before it topped the ARIA charts.
More recently, Indigenous artist and 2019 Australian of the Year Baker Boy performed the first show in his Cool as Hell tour as part of the St Jerome’s Laneway Festival to a sold out audience.
In the same year legendary street artist Scott Marsh immortalised Kelly with a portrait of the Aussie icon on the grand white building.
The landmark freehold comes with a “strong” lease to Australian Venue Company and can earn the new buyer an attractive annual income of about $3.15m.
Listing agent and Gorman Allard Shelton director Joseph Walton said this investment opportunity to be a part of Melbourne’s history is a “once in a lifetime” chance.
“The Espy is irreplaceable and representative of Melbourne’s heart and soul,” he said.
“This property is truly a once in a lifetime investment opportunity.”
Interest is anticipated from major domestic, interstate and international buyers driven by the reputation of the hotel and the “first-class tenant” it comes with.
“This magnificent piece of real estate is so quintessentially Melbourne and now represents unparalleled investment opportunity expected to command the attention of international buyers” he said.
Andy Mullins of Sand Hill Road said it was a privilege to have been a part of the team who brought the venue back to life and are excited to see the next owners write another chapter in its “storeyed history”.
“We feel so privileged to have been the team that breathed fresh life into the lungs of this stunning, historic establishment,” he said.
“It’s so much more than a pub.”
The international public tender process is due to close on November 18.
First look: New Coast shopping centre for surprise site
A long-empty site in a surprise location will be transformed into a retail showroom complex under fresh plans lodged with the council. FIND OUT WHERE
Revealed: How much rent you need to pay in every Qld suburb
Rents have increased again in 252 Queensland suburbs, reversing the brief downward trend recorded just three months ago. See how your suburb compares!