Dan Dragicevich and Sam Handy have been exclusively appointed to sell the business, with the agents advising that the genesis for the sale has come about after several informal and unsolicited approaches to the owners by hoteliers keen to secure an entry-level trading opportunity - within the Sydney CBD.
The hotel is strategically situated on bustling Pitt St, within The Galeries Retail Shopping Precinct - a prominent lifestyle and cultural destination for fashion, art & dining.
Arthouse Hotel is surrounded by numerous commercial office towers (ANZ Towers, Tattersalls Building etc), retail shopping centres (Pitt Street Mall, Westfield & Stockland Piccadilly), accommodation hotels (Hilton Hotel, Sheraton on the Park) and significant public transport infrastructure (Gadigal Station, QVB light rail); all of which provide for a dynamic precinct, with incredibly high pedestrian foot traffic.
The business is on track to generate annual revenues of ~$8,000,000 across bar, food, gaming, wagering and functions, and has been operated by the same private owners for the last 26 years.
It’s anticipated that the market will be attracted by the opportunity to immediately plug into such a strong cash flow, in concert with the ability to reposition the offering to better resonate with its surrounding catchment.
"The Arthouse Hotel has been a Sydney institution since the site was redeveloped in 2000. Testament to the ongoing success of the business, the original operator is still involved to this day, which is a rarity for any Hotel, especially a leasehold Hotel," Mr Dragicevich said.
The premises is spread across multiple levels of expansive trading footprint, and which is widely considered to be one of the largest within the CBD (especially given its approved patron capacity for 900 people).
The hotel comprises four bars, a gaming room, two restaurants, two kitchens, an outdoor courtyard, several functions and event spaces: in addition to excellent back of house facilities.
The hotel also recently underwent an extensive $3 million renovation and refurbishment program. The business features a 24-hour liquor licence yet is seldom traded past 1:00am by the current Lessee - despite possessing the ability to remain open until 5:00am.
There are 21 gaming machines attached to the licence, with the business ranking #447 for the Dec-25 Quarter. There are currently no gaming machines within an outdoor smoking-solution, despite the business being surrounded by numerous strong performing gaming rooms - including the Criterion Hotel (#116), Hotel Coronation (#136), M Bar (#461) & the Edinburgh Castle Hotel (#496).
The Lessor owns 15 of these gaming machines entitlements, whilst the lessee owns six, and which are also being included on the sale.
"Over and above the entry-level price point, huge existing cash flow and dynamic location, is the three level trading platform and approved patron capacity for 900 people," advised HTL Property Director, Sam Handy.
"Further reinforcing the value of this opportunity is the underlying hard-asset value that comes with the inclusion of six gaming machine entitlements."
The leasehold interest in the Arthouse Hotel is being sold via an Expression of Interest sale program, closing at 4:00pm on Thursday 14 May 2026 (if not sold prior).
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