King Island Hotel for sale: Iconic Tasmanian pub seeks new publican
From golfers returning from Cape Wickham Links and Ocean Dunes – two of Australia’s most celebrated courses – to locals catching up over a beer, generations of King Islanders have passed through the doors of the island’s only pub. Now, the iconic King Island Hotel is searching for a new publican.
The pub at 7 Main Street in Currie has been listed for sale as a leasehold business by King & Heath First National Bairnsdale agents Matt Baylis and Chris Martin, following longtime publican John Smith’s decision to “move on to a new chapter”.
While the current double-storey building dates from the mid-1960s, following the original hotel’s 1964 fire, the venue has long been an institution on the Bass Strait island, positioned between the mainland and Tasmania.
While King Island draws golfers, it’s also a foodie destination famed for delicacies including King Island Dairy cheese, crayfish and grass-fed beef.
The business, which is described as having “zero local competition”, is being offered for $600,000 plus stock at valuation. The leasehold includes a public bar with a fireplace and pool table, lounge and bistro, private dining and function space, commercial kitchen and 13 motel rooms.
A business built on tourism and community
Baylis says the property offers more than just a hospitality business.
The island’s close-knit 1600-strong community is also part of its appeal. As King Island Tourism notes, visitors quickly discover a place where “your baggage handler at the airport might also be the person making your coffee later that day”, reflecting the small-town atmosphere that has become synonymous with island life.
“There are no other hotels – there’s a captive market there,” Baylis says. “It plays such a key role on the island. It’s the meeting place, it’s a place for people to go and enjoy themselves and have a good time, and it’s a good place for tourists when they come to the island.”
Baylis says the business would ideally suit an owner-operator keen on a scenic lifestyle change.
“I reckon it would be pretty bloody good,” he says. “It’d definitely be a lifestyle – just the simplicity of it, and the beauty the area offers.”
New operators will be able to glide in and take over Smith’s legacy, with seven-day operations running like a well-oiled machine.
Smith has been assisted by a team of seven full-time staff and up to 15 casuals engaged to manage seasonal demand, with a focus on delivering the basics well.
“I think it’s the continued operation of just doing the basics well – good food, good atmosphere, cold beer and good, clean accommodation,” Baylis says. “If you do the basics well, particularly in hotels, that’ll tick a lot of the boxes.”
Lease security and room for growth
The opportunity includes a recently renewed lease structure with the private landlord, with the current five-year term running until 2029 and three further five-year options available, providing potential tenure through to 2044.
The business generates income across four established revenue streams – accommodation, food, beverage and functions – with the public bar’s TAB, Keno and Sky Racing supporting revenue. Agents describe turnover as “outstanding” and profits as “excellent”, though exact figures were not available.
The accommodation comprises 13 motel-style rooms, including two two-bedroom suites, and two other suites accommodating between three and five guests. Room rates range from about $210 to $250 a night.
The light-filled ground-floor bistro caters for up to 140 patrons, including larger group bookings, and showcases King Island’s best produce. It opens seven days a week for breakfast, lunch and dinner, offering a relaxed dining experience.
The property also features a private dining and events space, the Cataraqui Room, which has its own bar, stone fireplace and direct kitchen access.
Baylis says the scale of the site made an immediate impression when he first inspected it.
“It’s quite big when you’re standing there,” he says.
Baylis says there is some extra land behind the pub where additional accommodation could be built, subject to approvals and agreement with the landlord.
“There is plenty of space,” he says. “It’s a bit of a slope so it depends on how they’re designed”.
Attractive lifestyle and owner-operator appeal
Positioned in the island’s largest town, the hotel is close to the rugged coastline, famous for its many shipwreck sites and surf breaks.
The island is often regarded as Australia’s premier golf destination, with players frequently travelling there to tick off both world-class links courses in a single trip.
Cape Wickham Links is ranked Australia’s No.1 public golf course and 47th in the world by Golf Digest, while Ocean Dunes is also consistently ranked among the country’s leading courses.
According to the King Island Tourism Strategy report, the island welcomed around 18,000 visitors in 2022. Golf remains a major tourism driver, with 20 per cent of visitors citing it as their primary reason for travelling to the island. A further 10 per cent played a round during their stay, while others enjoyed nature-based activities and travelled for work.
King Island is more accessible than many people realise. Baylis says it is serviced by three airlines and chartered flights, with Melbourne and Hobart both about 45 minutes away by air.
For the right buyer, Baylis says, the opportunity offers far more than simply operating a pub.
“It’s not like in a lot of other regional towns, like in Ballarat or somewhere where there’s 50-odd pubs,” he says. “I think it’s an exceptional opportunity for someone to play an important role on the island.”
