After several months of negotiations, Pub Baron Jon Adgemis has acquired the iconic Noah’s Backpackers in Bondi Beach for $68 million, amidst stiff competition from a few major developers.
Presented as one of Sydney’s biggest development opportunities, Noah’s Backpackers was sold to Adgemis’ Public Hospitality Group, beating several other big-time property developers including Ingham chicken empire heir Robby Ingham and Crown Hotel Surry Hills’ new owner George Karageorge.
The acquisition is the latest addition to the rapidly expanding Public Hospitality Group’s $400-million portfolio which currently controls 17 pubs and hospitality venues such as The Strand Hotel, The Empire Hotel, Norfolk Hotel, the Exchange Hotel, and Kurrajong Hotel.
The property was listed in April 2022 through an Expression of Interest campaign and whilst no price guide was offered, it was understood to be in the vicinity of $70 million.
The former investment banker has yet to reveal his plans for the site but industry insiders say that Noah’s has the potential for a hotel, high-end residential or even a mixed-use development.
The group, however, needs to negotiate with Waverley Council to allow it to go higher than the 12.5-metre limit before any major redevelopment requiring added height can commence.
The 260-bed backpackers with breathtaking ocean views sit on a 1,087-sqm site at 2-12 Campbell Parade. The hostel was forced to lock down in 2020 and again last year due to COVID-19.
The last time a Campbell Parade property was sold was in late 2020 when 134-138 Campbell Parade, where Ben & Jerry’s Easy Mart and an eight Art Deco flat sits, was sold for a reported street record $26 million.