Regional Victorian pubs transformed into dream investments for urban escapees

Historic pubs across regional Victoria are drawing buyers seeking charm, investment potential and even a tree-change to the countryside.

Heritage pubs have become the new gold rush across Victoria for buyers chasing a slice of country charm, with historic venues like Terang’s 150-year-old Commercial Hotel leading the charge.

From creative spaces for artists, boutique accommodation, these pubs are proving the new great Australian dream might just come with a beer garden.

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TERANG

The 150-year-old Commercial Hotel offers rustic charm and endless potential for boutique accommodation or a creative hub.

A 150-year-old hotel in the heart of Terang is turning heads among buyers keen to escape the hustle of city life and embrace the charm of the country.

With its rich history and a proven track record of local community engagement, Tourism Brokers sales executive Andrew Cronin said the property is emblematic of a growing trend among Australians seeking a tree-change.

“People are tired of the 9-to-5 grind and commuting to work – during their summer holidays, they pause, pull out their laptops, and start thinking about what else they could be doing with their lives,” Mr Cronin said.

Buyers are drawn to the Terang hotel’s rich history and vibrant role in the local arts community.

“Covid has played a big role in showing people they can work away from the office.

“Now buyers are considering moving to the country, enjoying the lifestyle, cashing in on their city property, and using surplus funds to invest in something new.”

Mr Cronin said while the property is 2.5 hours from Melbourne and 35 minutes from Warrnambool, Terang combines small-town charm with proximity to coastal attractions, it’s the hotel itself that sets this town apart.

“This beautiful hotel is drawing a lot of attention – it’s clean, safe, and welcoming, with historic buildings, charming cafes, and boutique stores that make it a lovely place to explore.

Prospective buyers could score their own beer garden

“The hotel has a bar, entertainment spaces, and 20 upstairs rooms that could be converted into a boutique motel or creative accommodation experience.

The Tourism Brokers sale executive said the hotel has earned a reputation as a hub for musicians and artists, with the current owner providing free lodging to struggling performers in exchange for live entertainment.

“The current owner isn’t just focused on financial returns — they’re passionate about providing a space for artists to shine and for the community to enjoy,” Mr Cronin said.

“With four recreational rooms, small retail spaces including a cafe, bookstore, and alternative health clinic, the property offers a wealth of business opportunities.”

The current vendor reports a net profit of $55,084 for 2023/24.

BALLARAT EAST

Ballarat East’s historic pub is a meeting place for locals nestled in a thriving tourism hub.

A slice of heritage is up for grabs at 81 Humffray St North, North Ballarat.

Originally built in 1862 as the Eastern Station Hotel, this well-preserved pub has long been a meeting place of the community, and its current owner is hoping to fetch $1.049m-$1.149m for the site.

YPA Estate Agents Ballarat director Shane O’Brien said properties like this capture the imagination of buyers for good reason.

“In a place like Ballarat, it’s all about community,” Mr O’Brien said.

Built in 1862, this Ballarat pub offers timeless charm and countless business opportunities.

“Owning a pub here is as much about giving back to the locals as it is about running a business.

“Many pub owners have longstanding connections with the community — it’s a place where you know not just your customers, but often their parents and families as well.”

The property was renovated in 2000 and 2014 includes eight accommodation rooms and the potential to generate around $75,000 annually.

Mr O’Brien said the appeal of country pubs is often romanticised but remains strong, especially among city buyers yearning for a change of pace.

With a location near Sovereign Hill, this Ballarat pub is perfect for buyers seeking heritage and the potential for around $75,000 in returns annually.

“There’s a pull towards the rural lifestyle — people love the idea of the slower pace, the community feel, and the fact these establishments are typically much more affordable than those in metro areas,” he said.

The YPA director added the pub is being sold with vacant possession, giving buyers the flexibility to create their own vision.

And with the commercial market in Ballarat maintaining steady interest, this property represents a solid investment for those ready to act.

ROCHESTER

Exterior of the 155-year-old building know as The Tavern.

A piece of Rochester’s history has hit the market, offering buyers an opportunity to own a beloved local landmark.

The Tavern, situated at 49 Moore St, Rochester, has long been a fixture of the community – built in 1870 as The Commercial Hotel, the historic building now known as “The Tavern” is an example of Victorian-era architecture in the town.

Following a restoration just over a decade ago, this grand establishment has been brought back to life, preserving its original charm while incorporating modern amenities. It’s now up for sale with a $1.3m-$1.425m price tag.

Rochester’s Tavern blends Victorian-era elegance with modern amenities, making it a standout in the Heathcote Wine Region.

Rochester real estate agent Luke Ryan said the pub was being offered as a freehold and leasehold package with the property combining the chance to own the historic building and operate the business — or explore entirely new opportunities.

“This property is truly remarkable, not just for its charm and character but also for the extensive restoration it underwent,” Mr Ryan said.

From recently renovated boutique accommodation to a private residence, Rochester’s Tavern offers endless possibilities for buyers.

The Tavern’s layout includes multiple bars, lounges, and dining rooms, accommodating up to 100 seated guests or 140 for casual gatherings.

A beer garden shaded by a grand peppercorn tree and connected seamlessly to the dining area is a favourite spot during the warmer months. The building boasts features such as pressed metal ceilings, leadlight windows, and an eye-catching Redgum Bar at the front.

Beyond its traditional role as a pub, The Tavern’s upstairs level includes four modernised guest rooms with ensuites, as well as a two-bedroom self-contained unit.

A beer garden under a peppercorn tree and stunning heritage features make Rochester’s Tavern a dream property.

Mr Ryan said the site’s wide range of possibilities make it attractive to commercial investors.

“If you decide not to operate it as a pub or an Airbnb in the future, it could easily be converted into a private residence or repurposed for other commercial uses,” he said.

“The Tavern is also positioned at the northern end of the Heathcote wine region – we’ve seen consistent interest from local buyers as well as inquiries from people in Melbourne, which isn’t surprising given the unique character and potential of the property.”

Mr Ryan said most of the inquiries have come from Victorian-based buyers who are drawn to the charm of the building and the lifestyle opportunities it represents.

SEBASTOPOL

Sebastopol’s Royal Mail Hotel combines history, a prime location, and stable income potential.

The Royal Mail Hotel at 290 Albert St, Sebastopol, is capturing the attention of investors and local heritage enthusiasts.

Nestled in one of Ballarat’s key growth corridors along the Midland Highway, Jellis Craig Ballarat’s Chris Sargent describes the property as a prime example of why Ballarat pubs remain a standout investment with a price guide of $1.05m-$1.1m.

“Pubs in Ballarat present a highly attractive investment opportunity, particularly because of their historical significance and strong ties to the local community,” Mr Sargent said.

With a 1,800sq m allotment, the Royal Mail Hotel is a standout investment in Ballarat’s growing corridor.

“In Ballarat, pubs often deliver a return on investment of approximately 7 per cent, which stands out compared to the 5 per cent return typically seen in other commercial investments.

These establishments are not only historically significant but are also solidly built and well-established, offering investors a reliable and appealing option for long-term returns.”

Mr Sargent said The Royal Mail Hotel ticks all the right boxes but it’s 1800sq m allotment, long-term lease tenant with 30 years remaining will ensure its new buyer a stable income.

3 Strong community ties and a potential 7 per cent return of investment make Sebastopol’s Royal Mail Hotel a great opportunity for investors.

BEECHWORTH

The Empire Hotel in Beechworth offers a slice of history and a walk-in and start business opportunity.

The Empire Hotel at 10 Camp St, Beechworth, has captured the attention of investors and hospitality enthusiasts.

With a price guide starting at offers over $1.25m, CRE Brokers Australia business broker Rod Devlin said the freehold property with all the fittings and fixtures necessary for a seamless relaunch is “a walk-in operation with a strong local following.”

Beechworth’s Empire Hotel combines charm, loyal locals, and endless potential in a top tourist town.

“When you consider the pricing level, it’s essentially comparable to the price of a house,” Mr Devlin said.

“So, you’re purchasing a commercially-owned business that’s set up, ready to operate, and capable of generating income as a hotel and accommodation business.”

Mr Devlin said The Empire Hotel holds a special place in the hearts of Beechworth locals, many of whom were loyal patrons before its closure keen to see the venue reopen.

“Every time I visit, someone stops me in the street and asks, ‘Have you found a buyer yet?’ Everyone is really eager to see the pub reopen,” he said.

Positioned in a gold rush heritage hotspot, Beechworth’s Empire Hotel is perfect for investors or a hands on owner looking for a tree change.

“Beechworth itself is a historically significant tourist destination, with a strong economy driven by visitors seeking its gold rush heritage and charming ambience.

“For someone who wants to be hands-on, it’s a fantastic opportunity or alternatively, it’s a great investment for a real estate investor, who could lease the business and start to recoup the purchase price that way.”

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