Pro-invest puts Kimpton Margot Sydney on the block

Fund manager Pro-invest has put the Kimpton Margot Sydney up for sale

International fund manager Pro-invest has listed the Kimpton Margot Sydney for sale after buying the property three years ago from China’s Greenland Group.

No price tag has been put on the five-star hotel, which was previously Sydney’s heritage listed 1930s Water Board building but has since undergone a major renovation to convert it into a luxurious hotel opposite the newly opened Gadigal Metro Station and the Parkline Place office block.

The Kimpton Margot Sydney opened in February 2022 and is the luxury boutique brand’s first foray into Australia. It was previously known as the Primus hotel under Greenland which spent tens of millions on the long-running renovation.

Greenland sold the hotel to Pro-Invest for $131.5m, but the property has been substantially changed since that time.

Fronting 339 Pitt St, the hotel comprises 172 rooms and food and beverage offerings including Luke’s Kitchen by chef Luke Mangan, The Wilmot Bar, as well as a rooftop bar and swimming pool.

CBRE’s Michael Simpson has been appointed to market the hotel, with expressions of interest closing July 11.

“As Australia’s leading economic and tourism hub, Sydney CBD assets are tightly held and highly sought after investment opportunities,” he said.

The founder of Pro-invest, Ronald Barrott, added: “The Kimpton Margot exemplifies Pro-invest’s ability to strategically reposition and operate underperforming assets and turn them into flagship hotels. Through extensive renovations, the introduction of celebrity dining concepts – Harper, Sydney’s largest open-air rooftop bar – and a focus on unparalleled guest experiences, the hotel’s strong position and performance make it a standout opportunity for institutional investors or family offices looking to gain exposure to Sydney’s thriving luxury hotel market,” Mr Barrott said.

Other Sydney hotels are also on the block.

The Golden Age Group is selling the Ace Hotel Sydney in Surry Hills. That hotel, which opened in mid-2022 and has up-market restaurants and bars, including the Kiln rooftop bar, as well as 264 guest rooms, has price expectations of more than $300m.