One of the South West's key hotels, the 4.5 star Mantra Bunbury Hotel, part of the much-hyped Bunbury Silos redevelopment, has been sold by liquidators for $11.5 million, far short of the expected sale price of $20 million, just four years after it was opened
The hotel was sold on behalf of the Silos liquidator Grant Thornton by Aaron Desange, senior vice- president of investment sales at Jones Lang LaSalle Hotels to an undisclosed buyer.
Since opening in 2008, Mr Desange said the boutique hotel quickly established itself as one of the best hotels in the region, catering for corporate visitors during the week and leisure trade on weekends.
On the foreshore of Koombana Bay and opposite Bunbury CBD, the hotel consists of 64 guest rooms, a restaurant and bar, indoor heated swimming pool, day spa, tennis courts and onsite car parking.
Directors of Bunbury Silos project developer, Bunbury Silos Pty Ltd, a subsidiary of the Kareelya Property Group, called in administrator Matthew Donnelly in August last year. They made the decision following a petition by the Australian Tax Office in April to wind up the company.
The Bunbury Silos is a heritage award-winning project that included the redevelopment of the "white silos", the last remnants of Bunbury's old port facilities, and the development of an eight-storey residential complex, hotel and restaurant on the port waterfront.
Mr Desange said the hotel was sold via a public expressions-of- interest campaign that attracted the attention of domestic groups from around the country that are focussed on mid-scale hotel acquisitions between $10 million and $30 million.
The sale includes a long-term lease to the hotel's manager, the Mantra Group - one of Australia and New Zealand's largest hotel operating companies.