As previously posted this week saw lodged with ASIC the offer document to re-float the remnants of the Hedley pub empire following reports of a successful institutional bookbuild: Hotel Property Investments
FNQ hotels remaining in the 41 pub portfolio along with current valuations include:
Barron River Hotel $ 5.6 million
Dunwoodys $17.1 million
Grafton Hotel $ 5.65 million
Palm Cove Tavern $ 5.6 million
Sole on Sheridan $ 6.8 million
Trinity Beach $12.5 million
A clutch of remaining bottle shops also at Bella Vista, Centenary Heights, Edge Hill, Manunda, and Kewarra Beach. There are also a number of pubs and bottle shops in Townsville.
Sole on Sheridan may be more familiar to some as the FirstChoice bottle shop. Valuations are not greatly different from when HLG was floated in 2007. However punters in the poorly structured and managed 2007 offer who stayed in lost their shirts, including many from FNQ.
The current offer is geared at far more conservative levels and Coles is the tenant for the entire portfolio. The previous fund included pubs leased to the highly stressed Hedz and NLG which both failed. Hedley also had a sometimes controversial stake in NLG.
The attraction of the pubs for Coles (Wesfarmers) is of course Queensland's arcane liquor laws which restrict bottle shop rights to the pub licence (three each).