Oscar Hotels buys Empire Hotel in Annandale, in Sydney's inner west

Property records show the property last changed hands for $4.9 million in December 2009 when the D’Agostino family bought it from the ING Entertainment Fund. It sold at the time with a long-term lease in place to operator Feros Group.

Oscars Hotel Group is led by brothers Mario and Bill Gravanis and has a portfolio of more than two dozen hospitality and accommodation venues spread across NSW.

Hotels in the portfolio include the Novotel Wollongong Northbeach hotel (bought for about $48 million in 2014) and the Novotel Sydney Brighton Beach (bought for over $100 million in 2015).

Pubs in the group include the Bristol Arms in the Sydney CBD and the Como Hotel in Sutherland Shire, which were both acquired in late 2016 from Geoff Dixon and John Singleton’s Australian Pub Fund for a combined $25 million.

The sale of the separately held freehold and leasehold to the Empire Hotel was brokered by Nick Butler of JLL Hotels & Hospitality Group.

Included in the sale was a two-level commercial office space at the rear of the property.

Alongside gaming revenue, Mr Butler said accommodation has more recently become a sought-after, high-margin revenue stream with many hoteliers looking to properly activate hotel rooms.

“Fundamentally, the Empire is an exceptionally presented hotel and a great piece of city fringe property with the potential to add more rooms, and clearly an underdone gaming trading opportunity,” he said.