Sydney Leisure, Gaming and Property Growth Fund (Vauxhall) No. 1

The Investment:

Vauxhall Inn, Granville located at 284 Parramatta Road, Granville NSW, is a two level heritage listed circa 1930’s hotel comprising ground level public bar, internal and external gaming room (30 machines), bistro and external TAB with upper level of the hotel providing an office and unused accommodation rooms with 60 car parking spaces. The Hotel Manager currently owns and operates the Investment and has agreed to sell the Investment to the Fund for $28 million, based on an independent valuation dated 22 September 2015.

The proposed development:

The Manager has appointed the Development Manager to obtain a rezoning of the Property from B5 (Business Development) to B4 (Mixed use) and to permit a greater intensity of development (in height and floor space terms).

The Fund’s objective is to:

  • Provide Investors with a regular income return underpinned by gaming revenue from the Business; and
  • Provide Investors with the potential for capital growth upon disposal of the Investment or entry into a joint venture with a developer.

The Fund’s investment strategy is to:

  • Purchase both the freehold and leasehold interests of the Property from the Hotel Manager;
  • Engage the Hotel Manager to manage and improve the Business with a view to increasing earnings each year during the term of the Fund; and
  • Commission the Development Manager to undertake rezoning and other development strategies to improve the value of the Investment with a view to crystallising that improvement through a sale to, or joint venture with, a developer.

The Offer is only available to persons who qualify as wholesale clients (as defined in section 761G (7) of the Act) or sophisticated investors (as defined in section 761GA of the Act), (collectively, “Qualifying Investors”). Minimum subscriptions are $100,000, and thereafter in multiples of $50,000 from Qualifying Investors only.

Should you have any interest, please email us at [email protected] or alternatively call us on (02) 8277 0000 to discuss further.