Dual Blue Mountains hotel portfolio listed with $6m turnover and expansion potential
A unique dual-hotel portfolio in the UNESCO World Heritage-listed Blue Mountains has been offered for sale.
Hotel Mountain Heritage in Katoomba and The Falls Mountain Retreat in Wentworth Falls are just 12 minutes apart and are being sold as a freehold going concern with combined annual sales approaching $6 million.
While the properties offer different guest experiences, their proximity creates opportunities for an incoming owner to consolidate management, marketing and operating functions.
“Both venues are incredibly popular and offer differing patronage experiences,” says JLL Hotels & Hospitality Group senior vice president Greg Jeloudev.
“Hotel Mountain Heritage is suited to guests looking for a country-style retreat, while The Falls Mountain Retreat offers a more contemporary experience.
“The portfolio provides immediate scale and operational synergies for an incoming operator.”
Historic Katoomba retreat offers DA-approved expansion
Hotel Mountain Heritage is the more distinctive of the two properties. Built in 1908 and originally known as The California, the historic Katoomba hotel was reportedly the largest timber-framed building in the southern hemisphere at the time of its construction. A distinctive cylindrical brick turret gives the hotel’s facade a castle-like character.
The property was developed by prominent Sydney businessman Herbert Preston and designed by American architect Legge. Its exterior was clad in Californian redwood, providing the inspiration for its original name.
“The hotel was positioned as a European country retreat and enjoys breathtaking views over the Jamison Valley,” Jeloudev says.
“Given its unique location, an equally unique design was considered appropriate to complement the grandeur of the position.”
Today, the country retreat-style hotel comprises 41 rooms, substantial function and conference facilities, a four-bedroom residence and a leased day spa. Its elevated position provides uninterrupted panoramic views across the Blue Mountains, creating a dramatic backdrop for weddings, conferences and special occasions.
The property also comes with an approved development application for a further 21 rooms, alongside internal and external repositioning works. Completion of the approved project would increase the hotel’s room count to 62.
Contemporary townhouse villas at Wentworth Falls
The second property, The Falls Mountain Retreat, provides a more contemporary accommodation experience in Wentworth Falls. It contains 18 townhouse-style villas configured as 35 keys.
The offering arrives as the Blue Mountains continues to benefit from its status as an internationally recognised tourism destination, supported by year-round visitation, major events and limited additions to the region’s accommodation supply.
“The Blue Mountains continues to demonstrate exceptional resilience as a year-round destination market,” says JLL Hotels & Hospitality Group senior vice president Tim Mayoh.
“We’re seeing strong performance driven by signature events, limited new supply and continued infrastructure investment across the region – all compelling propositions for savvy investors.”
The portfolio is available for purchase in one line or as two individual assets through an expressions-of-interest campaign closing at 4pm on Wednesday, August 26.
