Australian Hotelier March 2020

AUSTRALIAN

AUSTRALIA’S NATIONAL HOTEL INDUSTRY MAGAZINE

Vol. 37 No. 2- March 2020

IN THIS ISSUE: PUB LEADERS SUMMIT PREVIEW | GAMING | ACCOMMODATION

CONTENTS & ED’S NOTE

WE ENCOURAGE RESPONSIBLE DRINKING Get the facts DrinkWise.org.au

Contents

P34 Regulars

14 Ed’s Pub Leaders Summit Preview: This year’s

10 News: What’s happening in pubs

event is looking outside the industry for inspiration.

across Australia.

34 Design & Build: The Prince in St Kilda

18 Gaming: Keep up with all the

innovations that help highlight a

enjoys a royal revival.

38 Tales from the Top: How to compete with

gaming offer.

the big groups when attracting

26 Draught Products: Tapping into craft

top talent.

beer culture.

28 Accommodation: A tough summer has

had significant impacts on pubs up and

Editor’s Note reaped the benefits of tapping into craft beer

for the pub industry this

culture on p. 24.

For an even broader scope of inspiration,

tourism industries are hit

I highly recommend you attend the Pub

by the double whammy

Leaders Summit on 30 March in Sydney – we

of an unprecedented

have so many inspiring speakers to share

bushfire season, and the global health

their wisdom with you. More info can be

emergency of coronavirus. These two

found at www.publeaders.com.au.

confidence, and severely impact trade in

I hope to see you there!

Cheers,

hotels – particularly in tourist centres. Check out our report on a few operators who are

Vanessa Cavasinni

feeling the pinch on p 28.

P: 02 8586 6201

In happier news, I hope you enjoy this

E: vcavasinni@intermedia.com.au

GROUP ART DIRECTOR – LIQUOR AND HOSPITALITY: Kea Thorburn kthorburn@intermedia.com.au

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issue of Australian Hotelier, and find some inspiration for your business in these pages.

‣ Pub Dining

Check out the latest gaming innovations from

‣ Property and Investment

p 16, and learn how one coastal pub has

‣ PLS Review

6 | Australian Hotelier

GENERAL MANAGER SALES – LIQUOR & HOSPITALITY GROUP: Shane T. Williams

SUBSCRIPTION RATES

It’s been a tough start

events have combined to batter consumer

NATIONAL SALES MANAGER: Jason Wild Tel: 02 8586 6213 jwild@intermedia.com.au

PRODUCTION MANAGER: Jacqui Cooper jacqui@intermedia.com.au

down the country.

year, as hospitality and

PUBLISHER: Paul Wootton EDITOR: Vanessa Cavasinni vcavasinni@intermedia.com.au

Special Features Pick

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“There will be so much knowledge in the room.�

Mel Porter, Porters Plainland Hotel

Follow #PubLeaders for the latest

LAST CHANCE FOR TICKETS! Secure your spot at the Pub Leaders Summit to gain insights and inspiration to take back to your venue.

SUMMIT 2020

Monday 30 March Doltone House Darling Island, Pyrmont

www.publeaders.com.au THANKS TO OUR SPONSORS PLATINUM SPONSOR

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In the

news

WHAT’S HAPPENING IN PUBS ACROSS AUSTRALIA

Fanatics founder scores hat-trick with Captain Cook Hotel Warren Livingstone has added a third pub to his portfolio,

matches, as well as group travel to internationally-located events.

purchasing the Captain Cook Hotel in Sydney’s south-east.

After plenty of travel around the world, Livingstone told Australian

The Fanatics Group founder purchased the hotel off the long-time owners the Shannon family for $17 million in an offmarket deal.

The Botany hotel operation includes a 24-hour trading licence,

Hotelier that he is keen to focus on business closer to home.

“I’ll admit I live in a bit of a bubble these days. I’ve travelled a lot for the Fanatics business over the last 20-odd years, so now I like to stay local. I previously owned the Balmain Hotel and the

plus 18 EGMs. It also has an approved DA for a new gaming room

Greenwood in North Sydney, but I don’t like going over the bridge

smoking solution, designed by Paul Kelly.

these days so the Captain Cook suits me.”

“The hotel’s gaming performance is well placed to improve

Initial plans for the Captain Cook Hotel include an update to

following the introduction of a gaming room smoking solution,

the TAB facilities, and then activating the smoking solution plans.

especially when considering the already very strong and

Then the focus will be on completely overhauling the beer garden.

proximate competitor set,” commented HTL Property director

“A mate of mine, Will Dangar, is the gardener to the stars

Sam Handy, who presided over the transaction along with national

and he has a workshop 200 metres away. I’ve had him in and

director Dan Dragicevich.

his early plans for the beer garden are out of this world, so

This is the third pub for Livingstone, who also owns the Charing Cross Hotel in Sydney’s eastern suburbs, and the recently renovated Hyde Park House in the CBD. The publican is also the

hopefully we will have that finished for next summer. I’m hoping to pay him in schooners.”

“It’s different to anything I have done previously as there is

founder of The Fanatics Group, which coordinates with several

an established clientele to build on, and I hope to keep them

national sporting bodies to arrange group events around sporting

engaged plus entice the other locals. Fingers crossed!”

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As part of our company policy we ensure that the products and services used in the manufacture of this magazine are sourced from environmentally responsible suppliers.

10 | Australian Hotelier

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The wrapping used in the delivery process of this magazine is 100% biodegradable.

NEWS

LEADER OF THE FREE WORLD

Gregory Hills Hotel

HPI buying up large-format assets Hotel Property Investments (ASX:HPI) has entered into agreements to purchase two largeformat venues – the Gregory Hills Hotel in Sydney’s south-west, and the Acacia Ridge Hotel in Brisbane – for a cumulative $60 million.

“HPI has entered into agreements to acquire two of Australia’s most prominent large format hotels for AUD$60m, covering in excess of a combined 30,000 sqm of prime commercial property and positioning the company’s strategic interests in both Sydney and Brisbane’s respective growth corridors,” stated HTL Property’s managing director, Andrew Jolliffe.

The two hotel sales are unrelated, with the Gregory Hills Hotel being sold by the Royal Hotel Group, and Acacia Ridge being sold by Balmoral Hospitality Group. Both are being sold by the vendors on a sale-and-lease-back basis. The two large-format hotels also have top-performing gaming streams, with the Gregory Hills Hotel ranked 37 in New South Wales for gaming as at December 2019, and Acacia Ridge Hotel being in the top 10 pubs in Queensland for gaming revenue.

“The Acacia Ridge Hotel is firmly regarded as a top tier Queensland hospitality holding, and the price achieved is reflective of the high regard in which the market has valued the opportunity,” added HTL Property’s Glenn Price.

The double acquisition was partially funded by a fully underwritten $30 million placement that was announced on 26 February. As a result, 9.3 million new securities will be issued at $3.23 per security.

Pilbara BDR welcomed by AHA WA The Australian Hotels Association WA (AHA WA), along with the Liquor Stores Association of Western Australia (LSAWA), have welcomed the State Government’s commitment to a two-year trial of a Banned Drinkers Register (BDR) in the Pilbara region.

The BDR will require off-premise liquor retailers to reject sales to individuals who are listed on the register as a result of Prohibition Orders or Barring Notices. The technology is designed to target problem drinkers and avoid imposing blanket alcohol restrictions on entire communities.

AHA(WA) CEO Bradley Woods said the concept of a BDR has been led by industry and has the support of the McGowan Government, who will now administer the trial through the Department of Local Government, Sport and Multicultural Industries.

“Our surveys have shown that a BDR has the overwhelming support of the community. It is a targeted approach that does not penalise law-abiding citizens by

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preventing them from purchasing a legal product, as is the case with blanket liquor restrictions,” stated Woods.

The University of Western Australia will be engaged to conduct an independent evaluation of the two-year trial, which will inform the wider roll-out of the BDR scheme.

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NEWS

The accommodation and gaming streams hold plenty of potential for the pub’s new owners

Harvest Hotels doubles its money on Yass pub Regional pub group Harvest Hotels have sold the Australian Hotel Motel in Yass, just two years after purchasing and

New owners for Hotel Victor Hotel Victor, on South Australia’s coastline, has been sold

renovating the hotel.

The hotel was sold to a private family who own one other

by the Virgin family for the first time in 30 years. The Victor

regional hotel, for approximately $3.7 million. The sale price is

Harbor hotel was acquired by a consortium behind Corio

more than double the investment Harvest Hotels had in the hotel

Hotel in Goolwa for $9.3 million.

since purchasing it in November 2017.

The property consists of an accommodation hotel and pub

Situated on a 3,017 sqm block, the hotel recently underwent

offering, overlooking the ocean. The 3.5 star hotel comprises

a refurbishment. Its offer includes a bar, bistro and 10 EGMs. It

33 ensuited rooms, while the pub component consists of a

also has a significant accommodation offering, with 17 first-floor

large public bar, bistro, gaming lounge with 34 EGMs, and a

pub rooms, as well as 17 motel-style suites behind the hotel.

permit for six more. It also has a large conference/function facility and separate three-lane, drive-through bottle shop.

JLL’s vice president of investment sales, Will Connolly,

The overall current weekly revenue for the pub is in excess of $30,000 per week, and there is significant opportunity in adding a smoking solution to the gaming room, and creating a

brokered the deal and said that the potential to develop the

comprehensive marketing plan for the accommodation offering,

approximately 4,500 sqm site had caught the attention of

which currently averages 60 per cent occupancy.

hoteliers and property investors alike.

“The landscape is changing. Pubs are often located in

In a quick-fire campaign, the hotel was sold seven days after being placed on the market, with CBRE Hotels’ Kate MacDonald

prime spots – the beach front, in the CBD, and often corner

and Ben McDonald at the helm. MacDonald said the rapid sale of

blocks as well,” he said.

the Southern Tablelands pub was indicative of renewed interest in

“The future development potential is extending the attraction of these assets well beyond your traditional hotelier.

“As is our normal process, we work closely with a national commercial metropolitan investment platform to ensure all markets are canvassed to optimise the sale.”

regional pubs.

“We have been inundated with interest in regional hotels so far in 2020. These pubs are at the centre of their communities and, if managed properly, will yield strong returns for the operators.”

“We’re delighted to have assisted Harvest Hotels with yet another successful sale, which formed part of their 2019/20 divestment strategy,” she stated.

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12 | Australian Hotelier

“We believe the investment universe for this category and type of hotel will continue to expand in 2020.”

Harvest Hotels owns two venues in Tamworth: The Pig & Tinder Box restaurant and bar; and the Court House Hotel, which is currently undergoing a major refurbishment expected to be completed mid-year.

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PLS PREVIEW

New perspectives, new ideas

The Pub Leaders Summit returns to Sydney on Monday 30 March, bringing new perspectives to the event that will have attendees thinking differently about their venue operations.

HELD AT Doltone House Darling Island, the conference and expo will once more offer attendees insights and inspiration from operators and suppliers to the industry.

In addition, this year’s Summit will also include plenty of innovative operators from outside the industry, offering their perspectives on everything from gaming, entertainment, retail and more.

Topics for the day include sustainability, with a panel discussing implementing corporate responsibility

Jess Miller from the City of Sydney will

This year’s list of outside talent and their differing perspectives will give attendees an edge when it comes to new ideas for their venues.

Paul Wootton, Pub Leaders Summit

strategies, as well as a case study

of sustainability, having directed several programs on the subject.

“The Pub Leaders Summit has always offered the kind of insights that are useful to pub operators, but this year’s list of outside talent and their differing perspectives will give attendees an edge when it comes to new ideas for their venues,” stated Paul Wootton, publisher of Australian Hotelier and founder of the Summit.

Respected industry operators will also

presentation from Alice Dahlberg, sustainability officer for Spicers Retreats.

also be sharing her expertise in the field

be discussing their experiences at the making the link between knowing what’s

Summit, including Chris Cheung (C!NC),

Essential pub operations will also be

actually in the future of an industry, and

Kent Anderson (The Glenmore), Stephanie

covered, with F&B, entertainment and

being able to navigate those changes by

Haile (Merivale) and Marcello Colosimo

retail streams all being discussed by expert

adjusting your approach to individual and

(Momento Hospitality).

panels. Presentations will also be made

business performance and growth. He

throughout the day, with John Musca of

speaks about the importance of finding

there is so much knowledge and

JLL Hotels & Hospitality explaining how to

meaning around business and life and how

inspiration to be acquired at the Pub

make sense of market evidence; Morgan

to inspire improved performance in business

Leaders Summit, as speaker Mel Porter of

Kelly of KPMG discussing the ins and outs

and with customers. His keynote at the

Plainlands Hotel attests.

of data accrual and utilisation; Stevan

Summit should not be missed! For a taste of

Premutico of me&u highlighting consumer

Nosworthy’s insights, check out p. 30.

Between the conference and expo,

“I’m a big believer in sharing knowledge within our industry. I’m super excited

behaviour trends; and Darren Kwan of the

Other external expertise will be shared

Australian Esports Association making an

by the likes of Kerri Glasscock, director of

environmental practices and the

argument that pub gaming offers should

Sydney Fringe Festival, who will provide a

accommodation space.

include esports.

different perspective on the entertainment

The keynote speaker for the conference

to share what we’ve learned about

“And I’m equally excited to learn from

landscape; and Julie Ryan, CEO of Retail

the other speakers, and the summit’s

is Phill Nosworthy, a futurist with a focus

Drinks Australia, whose insights into

attendees. There will be so much

on the future of work. His speciality is

liquor retail are invaluable. Councillor

knowledge in the room.”

14 | Australian Hotelier

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PLS PREVIEW

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ALM is supporting its on-premise customers

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with the industry’s first online marketplace, ALM Agora. Agora connects all suppliers to on-premise venues with an ALM account across Australia. With over 50 suppliers and 250+ brands for the Phase 1 launch, and more suppliers to be on-boarded regularly, it’s of great benefit to on-premise venues. It provides venues with limited offers, need-to-know advertising, sales tools, event invitations, new product information, brand ambassador social media feeds and updates, trade presenters and product tasting notes. www.alm.pontoonx.io

16 | Australian Hotelier

JLL HOTELS & HOSPITALITY GROUP has completed more transactions than any other

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hotels and hospitality real estate advisor over the past five years. Whether you’re looking at buying a hotel or are ready to sell, JLL’s national pubs team will provide you with an important strategic advantage, using industry knowledge and relationships to put the right parties together and execute bespoke deals that exceed objectives. www.jll.com.au/hospitality

Last chance for tickets!

Nab your last-minute ticket now at www.publeaders.com.au When: Monday 30 March 2020 Where: Doltone House Darling Island, Pyrmont, Sydney

For the nation’s best with big

ideas

Hoteliers

The Elephant Hotel, Fortitude Valley

SOLD

Beach Hotel, Byron Bay

SOLD

Subiaco Hotel, Subiaco

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The JLL Pubs Team

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delivers beyond borders,

offering national market reach through local market leaders.

For the right advice and best

NATIONAL John Musca +61 424 257 004 john.musca@ap.jll.com

QUEENSLAND Tom Gleeson +61 449 289 845 tom.gleeson@ap.jll.com

jll.com.au/hospitality

results, contact us today.

VIC, SA, TAS Will Connolly +61 432 116 287 will.connolly@ap.jll.com

WESTERN AUSTRALIA Sean Flynn +61 412 779 987 sean.flynn@ap.jll.com

Achieve Ambitions

GAMING

A competitive gaming offer The gaming industry is constantly evolving, with new products to keep punters entertained and engaged. Take a look at the new products currently being showcased, and what’s forecast for the industry in the next twelve months.

While initial investment is significant,

significant portion of hotel visitors,

gaming remains one of the more

these venues may observe a reduction

profitable revenue streams for operators.

in patronage this year. Australia’s recent

As such, operators with a gaming offer

and severe bushfire period received

in their hotel need to ensure that their

serious international attention; coupled

proposition is one that will continue to

with anxiety about the spread of the

attract punters, and that makes the best

novel coronavirus, international tourist

use of the space allotted.

visitation to Australia dropped off

While there is plenty of confidence in

significantly over January and February,

the sector, particularly with the large flurry

and is expected to remain depressed for

of top performing gaming pub sales in

the first half of the year.

the second half of 2019, there are some

With these factors affecting consumer

factors this year that operators need to

gaming expenditure — as well as capital

keep abreast of.

city saturation reducing player loyalty to

In CBD areas of capital cities, where international tourists can make up a

18 | Australian Hotelier

one venue only — investing in the best equipment is of more significance than ever.

1.8% Slow but steady

Decreases in international visitors and consumer spending are expected to dampen, but not altogether stifle, gambling expenditure in Australia this year, with a 1.8% increase in expenditure forecast for 2020.

Source: ’20 for 20’ report. J.P. Morgan, 28 January 2020.

AUSTRALASIAN HOSPITALITY & GAMING EXPO Brisbane Convention & Exhibition Centre

18 & 19 March

Visit us at Stand #1

GAMING

Show stoppers The gaming industry is constantly evolving, with new products to keep punters entertained and engaged. Many of these new products will be on display at this year’s Australian Hospitality & Gaming Expo (AHG) on 18-19 March.

Player-driven performance IGT’s performance-driven game strategy is front and centre at this year’s AHG in Brisbane on 18-19 March. IGT’s new direction has resulted in games that deliver more exciting player experiences with stronger operator performance.

Fireball® is the key release for hotels – delivering ‘hold n spin’ gameplay but with a new twist, where line wins and the feature can be triggered together. Additionally, Fireball provides hoteliers with the opportunity for a better hold as it features a selection of lower jackpots. It suits every player type too, with a choice of denominations from 1c-$1 and a lower cost to cover.

Tony Luu, IGT’s NSW hotel business manager believes that Fireball delivers just what hotels have been asking for: “Broadening our hotel game portfolio with the introduction of a new style of hold-n-spin game offers more choice for our customers,” explained Luu. “Most importantly, Fireball, with its express versions of three IGT proven performers, provides the opportunity for better hold with a choice of jackpots and reduced jackpot liability.”

Another highlight will be Mighty Strike™ — an evolution of IGT’s successful Fortune Gong — with two new base games: Immortal Shogun and Black Knight. With a 3x5 line format, Mighty Strike

Fireball is IGT’s key release for hotels

features new maths for a more volatile player experience, and adds $1 & $2 denominations to the normal 1c-10c player selectable options.

Other products at AHG: • Multistar Brilliant Diamonds™ with six new performers, variety and choice in one cabinet • Strong performers Fortune Coin™ & Fortune Charm™, with rapid hit progressive and bet-driven bonuses • Fortune Rising and Treasure Rising, with $1 denom option and high volatility play with scalable bonus prizes • The preview of a new rapid hitting link, Golden Palace™

Many hoteliers are looking for games that provide better hold and reduced jackpot liability, so we have designed our 2020 game roadmap to deliver this.

Tony Luu, IGT

“Our Multistar products provide hotels with smaller VIP lounges the opportunity to offer players a choice of games with different gameplay to maximise precious floor space,” added Luu. “Many hoteliers are looking for games that provide better hold and reduced jackpot liability, so we have designed our 2020 game roadmap to deliver this – the release of Fireball is the start,” said Luu.

20 | Australian Hotelier

“Data is showing that players are looking for new types of game play and this is where IGT products like Fortune Coin and our multi-games deliver, offering solid performance and an alternative choice to keep players interested.”

IGT will have its new releases on display at stand 280 at AHG.

Nordic folklore comes to life in this thrilling and highly thematic new game series with loads of character and a cracking new jackpot feature!

KRAKEN UNLEASHED will be rolled out on ArgOS in the DualosX cabinet at AHG2020

See us at Stand #273

Head Office and Showroom 4 Newington Rd Silverwater NSW, 2128 Phone (02) 8707 6300

www.sggaming.com/australia

GAMING

Bigger and better Celebrating a year since it was first launched at the AHG in Brisbane, Scientific Game’s Dualos™X cabinet has been making inroads into gaming venues all around the country.

DualosX features bigger screens, greater processing capabilities to handle more complex games and deliver crisper graphics and an LCD iDeck™ with a mechanical play button. Standing just under 2m, the DualosX is an impressive cabinet to showcase SG’s exciting new game content.

The line-up of new games that hoteliers can look forward to boasts an exciting mix of classic style games aimed at regular hotel gamers together with a range of brand new game concepts to appeal to new players or those looking for something fresh. A new release that will be familiar to hoteliers is Drifting Sands™ X. This modern take on the hotel classic Drifting Sands™ is a wonderful revamp designed for the impressive DualosX cabinet.

In hotels, you’ve got a smaller machine base to work with so you have to be a lot more exciting.

Russel Gartner, SG Gaming

Vice president of sales and marketing, Russel Gartner explained: “Our approach is to keep a consistent line of dependable games pumping through the pipeline which cater to a large proportion of hotels while adding an eclectic range of specialty products for those ready to incorporate something new.

“In hotels, you’ve got a smaller machine base to work with so you have to be a lot more exciting. Our new persistent feature games and catalyst style games will offer something really unique and will be of interest to hotel operators at the show in Brisbane. Our latest link product Penny Pier™ Link will be bolstered with two entertaining new titles at the show — Golden Balloon and Sitting Ducks. And we are also excited by the forthcoming release of the new standalone series Kraken Unleashed™.”

Kraken Unleashed is launching with three feature games, Wild Vikings™, Lobster Bay™ and Dive For Five™. Not only does Kraken Unleashed contain elements of current popular games, it brings a range of a new features into play and the dynamic sound and visuals really bring this game to life.

For more information on the great new games available for hotels around Australia, visit SG at stand 273 at AHG.

22 | Australian Hotelier

Kraken Unleashed

GAMING

All Aboard for AHG

It’s all about what’s next

At AHG this year, Konami will showcase a wide range of products

The last decade

on the Concerto and Concerto Stack cabinet with multiple game

has been pivotal for

series and titles, including the well-known All Aboard and latest

Aristocrat, and with

innovation, Bull Rush.

AHG fast approaching,

Eighteen months since the first launch, the All Aboard series

the momentum

has demonstrated great performance and longevity. It has

continues into 2020.

been installed in all ANZ markets, including casinos, clubs and

Aristocrat invites you to

hotels. In the last 12 months, Konami had the second highest

join it at Stand 1 as the

slot machines ship share for NSW hotels. All Aboard Express has

company reveals that

combined three of the top performing titles from the All Aboard

“It’s All About What’s

series: Dynamite Dollars, Piggy Pays and Go West, and will debut

Next” on 18-19 March.

at AHG 2020.

With some of the

“I am pleased to see that All

industry’s best gaming

Aboard has been a success

talent on board, it will

in hotels and with a range of

showcase a portfolio

games in this series to come,

that offers more depth

there is much support for the

and diversity than

hotel market. Further to this

ever before. With over

we will have dedicated sales

25 titles on the stand

support in 2020 and with the

this year, Aristocrat

All Aboard Express and Bull

is confident that its

Rush series of games coming

portfolio will support

soon, we look forward to

the every need

continued growth in hotels,”

of venues.

said David Punter, Konami’s national sales manager.

Built on the ongoing

Aristocrat’s 2020 portfolio demonstrates its investment in the

success of All Aboard, Bull

future of the gaming

Rush will satisfy both players

industry. The company

and operators alike with

will take you on a

popular repeat win and hold

journey illustrating advancements in platforms and technology.

‘n’ spin mechanics, two-

You can expect to see some big reveals, as the company

level progressive jackpots,

unveils the exciting products rolling out this year. You won’t

dynamic bonuses, multi-

want to miss the opportunity to get an exclusive tour from an

denomination and player

Aristocrat sales representative.

configurable lines and also

Whether you are looking to refresh your floor with new

introduces the new “X-TRA

content, support existing game families or offer a point of

HIT” concept.

difference on your floor – Aristocrat has you covered. Its

Visit Stand 268 at

talented team brings inspiration to every challenge in order to

AHG 2020

deliver the ultimate gaming experience – from next-gen products

to find

like Player’s Choice Royale to innovative content like Grand Star

out

Link, and highly anticipated brands including Dragon Link and

more for

Lightning Link. Aristocrat strives to quickly identify and adapt

Konami’s exciting

new opportunities based on the high value placed on customers.

new products.

With plenty more exciting products also on display at the show, AHG is shaping up to be Aristocrat’s most memorable yet. Visit Stand 1 at AHG 2020 where the Aristocrat team looks forward to strengthening relationships with its customers and gaining your valuable feedback on its portfolio.

24 | Australian Hotelier

GAMING

An award-winning gaming room Last year the Wentworth Hotel won the

decision that should be based on several

AHA NSW Award for the ‘Best Metropolitan

key factors.

Gaming Venue’. Its aim was to provide

You need to consider things like the

its patrons with a premium gaming room

material used in construction and if it

that offered plenty of comfort and privacy

provides the durability required of a

as well as creating a space that had good

busy gaming room. The construction of

room flow, making the space one which

the gaming furniture itself also requires

patrons would enjoy being in overall.

consideration – as with many things, the

To achieve this, the pub’s operators

difference in quality cannot always be

partnered with Capital Design Works to

seen right away but rather is evident in

develop the floor plan and construct the

the areas you can’t see.

gaming room. Proudly, Capital Design

Other important factors to consider

Works have been the gaming room

are how safely and easily technicians

transformation partner for the winning

can access machine bases to undertake

AHA NSW Gaming Room of the Year,

maintenance work. How easily can the

every year from 2013 to 2019.

gaming furniture be disassembled and

Choosing who you work with to

Wentworth Hotel was named AHA NSW’s Best Metropolitan Gaming Venue for 2019.

The Wentworth Hotel now has a

reassembled should you wish to change

gaming room that not only looks great

transform your gaming room is an

the layout of the room? Is the final

but also provides their patrons with the

important decision, as your gaming

product the same as what was quoted

comfort and privacy they require – and

room is a long-term investment, and is a

and what you wanted?

has the award to prove it.

VISIT STAND 268 AT Konami Australia Pty Ltd. 28 Lord Street Botany NSW Contact your Konami Sales Executive or call 02 9666 3111

www.konamigaming.com

Crafts on The Coast at Seabreeze Beach Hotel

DRAUGHT PRODUCTS

Tapping into craft beer culture As craft beer begins to invade the mainstream, beer events can bring whole sections of the community to your venue – just like they have at the Seabreeze Beach Hotel.

ON THE Mid-North Coast of New South Wales, the Seabreeze Beach Hotel has

Teaming up with brewers Events like Crafts on the Coast or

served as a hub for locals and holiday-

smaller tap takeovers, are also beneficial

makers for many years with food, events,

to the breweries that work with publicans.

accommodation and family-friendly

“On premise is also a great opportunity

offering. Five years ago, it decided to

for companies like us to build brands.

create a special offering around craft beer

Consumers can trial different beers in a

as well, creating Crafts on the Coast, an

fun and engaging environment, at a fairly

annual festival celebrating craft beer.

affordable price point,” explains Aaron

Returning for its fifth year on 21 March, Crafts on the Coast has become a much larger event than when it first began thanks

Heary, chief strategy officer and COO of Gage Roads Brewing Co. “Tap takeovers have also worked well.

to the increasing acceptance of craft beer

They’re great for the venue as they create a

into mainstream consumption. For the first

special event and a buzz with punters. It’s

time, this year the event will extend on to

also a great opportunity for us to showcase

two of the pub’s street frontages with a

new beers and special releases.”

line-up of beer and cider brewers, gourmet food stalls and live entertainment.

Troy de Luca, GM of the Seabreeze

De Luca agrees, suggesting that beer events can help make sense of an everexpanding beer category that continues

Beach Hotel, said the event has grown

its upward trajectory of popularity

with the popularity of craft beer.

with consumers.

“We started with humble beginnings

“Understanding the craft beer market is

within the venue, showcasing local breweries

a tough assignment but we’ve found that

and since then we have had a number of

having these breweries attend our festival

brewers from all over the country attend.

continues to appeal to our customers. We

This year we extend onto the street.”

have seen a huge increase in craft beer

The event helps not only get the local

consumption across our venue and it is

community and tourists involved, but

continuing to rise. Crafts on the Coast acts

it allows for the hotel and other local

as a platform to bring all the latest craft

hospitality offerings to showcase their wares.

trends and releases to our locals.”

26 | Australian Hotelier

We started... showcasing local breweries and since then we have had a number of brewers from all over the country attend Troy de Luca, Seabreeze Beach Hotel

You’re in good company.

ACCOMMODATION

A tough summer

IN FIRE-AFFECTED East Gippsland and the high country, accommodation providers surveyed by the Victorian Tourism Industry Council (VTIC) reported a 100 per cent cancellation rate for January. In the Blue Mountains, where 80 per cent of the world heritage area was affected by bushfire, mass cancellations have occurred even in destinations as far away as Daylesford, according to Blue

In the wake of the devastating bushfires, and amid coronavirus fears, many pubs with accommodation have struggled with a dramatic loss of revenue during the traditionally busy summer period. Helen Hawkes reports.

Mountains Tourism.

Nationally, the devastation has surpassed six million hectares, taking at least 23 lives and more than 1700 homes in NSW, South Australia and Victoria. New South Wales has been the hardest hit, with towns such as Cobargo in the Bega Valley decimated by out-of-control bushfires.

While the outlook has seemed grim, Stephen Ferguson, CEO of the Australian Hotels Association, says the AHA will do everything it can to prevent affected businesses having to cease trade.

“These are unprecedented times and the AHA, as well as Federal and State Government and local councils, are putting considerable resources into getting cash flow back into affected areas,” he says.

Ferguson, who visited bushfirestruck towns such as Cobargo, says the Federal Government’s announcement of $76 million through the National Bushfire Recovery Fund will provide critical support to the hospitality, accommodation and tourism industry.

The majority of the money will be spent on marketing initiatives designed to drive tourism in both affected and non-affected fire regions. These include Tourism Australia’s ‘Holiday Here This Year’, which is being rolled out across several media avenues; and regional tourism bushfire recovery grants that will support events, concerts, festivals and visitor attractions in fire-affected regions.

28 | Australian Hotelier

Bermagui Beach Hotel

ACCOMMODATION

Bushfires hit the bottom line At Bermagui Beach Hotel, co-owners Yannis Gantner and Luke Redmond were enjoying a “fantastically busy” festive period before they “woke with a shock” on New Year’s Eve. “Twenty minutes away, Cobargo had suffered substantial losses and it seemed like the whole world was in Bermagui taking shelter,” Gantner recalls.

“We opened the pub just as a place for people to sit

Now we’re trying to trade as normally as possible and hoping March is a great month.

We’ve dropped prices to winter rates and we’re using social media to say we’re still here.

– Yannis Gantner, Bermagui Beach Hotel

out of the heat, or use the bathrooms, and we served food until we ran out of power in the mid-afternoon.”

What followed was a mass exodus of tourists and locals during what was supposed to be the hotel’s busiest week of the year with 100 per cent occupancy in its 18 rooms.

“We didn’t get power back until January 7 and, by that time, we’d thrown out more than $20,000 worth of food.”

The hotel has since purchased a $6000 generator to run the cool rooms and fridges but Gantner says it is yet to make up for losses, which also affected 45 staff.

While the hotel reopened its doors on 8 January, visitors had already cancelled bookings and trade through the remainder of January remained thin.

“Now we’re trying to trade as normally as possible and hoping March is a great month,” says Gantner.

“We’ve dropped prices to winter rates and we’re using social media to say we’re still here. We’re also finding out what relief, if any, we can get from our insurance.”

In Kurrajong Heights, between the Blue Mountains and Bilpin, the Archibald Hotel suffered substantial losses from being indirectly impacted by bushfires and directly impacted by flood.

“During the bushfires, highway signs alerted motorists that Bells Line of Road was closed,” says owner James Grasso. “We’re two kilometres down the road from where it was closed and we lost 90 per cent of our business, affecting not just our trade but 24 staff.”

The hotel initially offered refuge for local residents then, on January 3, it lost power for a few days and was forced to close.

“We bought a small generator to run the water pump but to buy one that would run the whole hotel would cost $42,000, which we just do not have” says Grasso.

Luke Redmond (left) and Yannis Gantner have had to drop accommodation rates at the Bermagui Beach Hotel

March 2020 | 29

“After the worst of the bushfires, in early February, one storm destroyed all our air-conditioners, followed days later by another storm where water entered the hotel and caused significant damage including $50,000 worth of carpet that had to be ripped up.

“Coronavirus hasn’t had an impact at this stage, but I’m wondering what else can happen.

“While there’s plenty of help being offered for mental health, there’s nothing financial unless you have actually been burnt down.”

While hospitality businesses are eligible to apply for government grants of up to $50,000 for costs associated with the clean-up and reinstatement of their

James Grasso was forced to shut the Archibald Hotel for a few days

operations, these do not include loss of income, and businesses must have been directly impacted by the bushfires.

Chief executive of the Victoria Tourism Industry Council Felicia Mariani says while

Federal Minister for Trade, Tourism and Investment, Senator Simon Birmingham, says 1

in 13 Australian

jobs rely on tourism and hospitality.

some operators will use their business continuity insurance to cover revenue shortfall, those not directly affected by the fires are unable to access it.

Ferguson says the AHA continues to

tourism dollar nationally, but in Victoria,

provider for pubs with rooms offers

that amount is 39 per cent, with $3.4

software that includes a front office

work in the interests of its members to see

billion coming from Chinese visitors,

management system of bookings, rates

that even towns not in the direct line of fire

according to the VTIC.

and room inventory and additional listings

are not forgotten.

The AHA is also providing support

It found that, since the coronavirus outbreak, tourism operators have lost 45

on global booking sites.

“Many of the pubs/motels affected

measures in affected communities, such as

per cent of business. With other tourism

by the bushfires or coronavirus are on

working with individual members to assist

councils across Australia, it has written to

a manual reservations system, which

issues such as power outages, staffing

the Federal Government, calling for urgent

doesn’t given them any online exposure,”

concerns, food deliveries and the future of

financial relief.

says Kelly.

businesses, says Ferguson.

Paul O’Connor, general manager of

For new clients, they are waiving their

the Apollo Bay Hotel on the Great Ocean

software fee, usually $99 a month for

Recovery impacted by coronavirus

Road, says the hotel is yet to see a

pubs with one to 10 rooms, and $149 a

significant drop in trade from coronavirus

month for those with 11 or more, for six

Tourism Accommodation Australia CEO

fears, but continues to monitor the

months. To be eligible for the offer, there

Michael Johnson says the coronavirus

situation with critical management

is a minimum sign up of 12 months.

outbreak has only added pressure to a

meetings and promotional activities.

sector already struggling.

“TAA will continue to work side-

“There is a strong need to help

Gantner, who like other business owners has been researching assistance

yourself,” he says. “Operators need to

options, says any support is greatly

by-side with the NSW and Federal

stand on the roof and shout we are open.”

appreciated.

Governments on tourism recovery

They can also go digital with their office

programs which we hope will help offset

management system to increase bookings,

this additional setback.”

says Ralph Kelly, of Pub Rooms.

China makes up 25 per cent of the

30 | Australian Hotelier

The website and revenue management

“Everything will help,” he says.

“I know Australians will get behind all these places that have been affected by loss of trade.”

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SAVE THE DATE 21 October 2020

2020

DESIGN AND BUILD

A royal revival St Kilda cornerstone The Prince Hotel has been restored to its former glory with a redesign that celebrates the long and rich history of the site. By Brydie Allen.

When the Prince Hotel first opened

history. When they looked into redoing the

in St Kilda in the mid-1800s, it was

restaurant in the Prince complex, formerly

much different to what it is today, and

Circa, they realised that other parts of the

she used to work at the Prince around 20

throughout the years since then there’s

venue were in a “pretty depressed state.”

years ago,” Ryan said.

been many changes.

In 1936, an art deco rebuild made it one

Managing director, Andrew Ryan, said:

Foschia’s history went deeper than that.

“When I first gave her a call, I found out

“I sort of got the tingles and knew I had

“A lot of people have gone to the Prince

the right person. We had someone that

of Melbourne’s grandest hotels, then in

over the years, including myself, and

knows the heritage and how it was, but

World War II it was the unofficial base of

everyone talks about the public bar. But

also has a love and appreciation for it.”

the American Military. At one stage it was

they’re talking about it from 15 years ago.”

Foschia’s history with the venue, where

the literal centre of the red light district

“They talk about it fondly, but it’s sort

(thanks to an actual red light on top of

of more fond memories of a time that’s no

helped her bring a unique insight to a

the building), at another, it was one of the

longer there.”

project that celebrates the rich and diverse

state’s first LGBTQIA+ friendly venues.

But when the Prince’s current owners

When Ryan set about its revival, he came across the work of Iva Foschia from

she worked while studying architecture,

history of a St Kilda community mainstay.

“When I was a student and working there,

took to the helm a few years ago, a lot of

IF Architecture, drawn in by her work in

I used to think, ‘What if one day this was a

the history behind the pub was just that,

similar venues and art deco style. But

project I was working on?’” Foschia said.

34 | Australian Hotelier

DESIGN AND BUILD

Improving operations The project moved some processes from both front- and back of house, which Foschia said was done to capitalise on the space, but also increase operational capacity. She says it really shows what is possible on both the aesthetic and business side during a redesign.

“The amount of seats and the floor area did change, because we actually gave more space to the venue. An area that was previously inaccessible is now actually part

“So when I met with Andrew and they said what they wanted to do with downstairs… it was, ‘Oh I’ve thought of this before’… it was one of those things that was once in a lifetime I think.”

Structural changes

of the Public Bar.” “I think the flow then, even from an operational point of view, has been greatly increased. Previously, they weren’t able to do a proper food offering, because they didn’t have the services down there. But now they can do a really good food offer…

changes, we’ve moved bathrooms, kitchens, created new areas, and put a staircase in that goes from the Public Bar up to the lobby of the hotel, which in the past, you literally had to go outside and then up,” Ryan explained.

“Having this internal staircase just means if you want to come and have a quick beer, you can then decide to go and have a bite or a cocktail up at the Dining Room, you can just walk through… it’s changed the flow and you can come in and choose your own adventure.”

Working with the structure of such a

and they can do that in a really efficient

historic building however, there were

A fluid and diverse history had created

operational way because the kitchen has

some challenges, as Foschia describes

several different spaces inside the Prince

been put in a good spot, the back of house

“Managing everything that we wanted

Hotel, each very segregated and coming

too, it’s all got a really nice flow.”

to do structurally, then having to deal

with their own connotations from the community.

As Foschia reflects, the pub part of the

with a very old building that had a lot of Andrew Ryan

latent conditions.”

The team had to be agile to work

complex was originally and fundamentally

with what they uncovered during the

two distinct spaces – the gay-friendly

demolition phase and still get the overall

saloon bar and the ‘rough and tumble’

design intent across in the final product.

public bar. That didn’t fit with Ryan’s

One of the things they uncovered was a

vision, to create an open and welcoming

load bearing wall that was to be removed,

space for all, so needed to change.

meaning columns had to be placed further

“Our approach was to make one holistic

into the space than first intended.

open space so that there would be no segregation between rooms and then

Same but different

potentially patrons,” Foschia said.

One of the goals of the Prince’s royal

Ryan said the structural changes in this regard have made the world of difference.

“There’s been a lot of structural

revival was to celebrate its rich heritage, while also making it attractive as a modern pub destination.

March 2020 | 35

DESIGN AND BUILD

The art deco plasterwork ceiling

“It certainly has changed quite a bit over the

it has that familiarity, but without being a mock old-

that sense of inclusivity and we’ve certainly not

world pub.”

stopped that… we’re not trying to be themed, it’s

The melding of designs cues help appeal to a

more a nod to the heritage and a respect to it,”

wider demographic, in a way that meets Ryan’s

states Ryan.

desire to not pitch the venue to any one type

Reinstated elements of the design by architect Robert McIntyre in 1936 include the art deco

of customer.

For example, outdoor spaces on the street have

plasterwork ceiling and the island bar shaped

been for the first time valued as a place to take in

and placed at its original location. The pub’s

the morning sun, expanding the offering of the pub

significance to the LGBTQIA+ community is

from “just a watering hole” to an all day, family

represented through an abstracted pride flag within

friendly, community hub.

dichroic glass over the bar, and a rainbow effect cast by brass table tops.

There are also references to traditional pub

36 | Australian Hotelier

said: “It’s an old-worldy kind of tile. For the punter,

years, but the main part is that it has always had

Since the pub reopened its doors, locals are trickling back in and the feedback has been positive. And although it’s early days, the royal

design, with bottle-green glazed tiles reminiscent of

revival seems to have gone a long way to restoring

classic art deco pubs. Foschia described them and

the crown to St Kilda’s Prince.

61 2 9660 8299 paulkellydesign.com.au

Hotel Rose Bay

TALES FROM THE TOP

Attracting the best personnel Want to recruit the top talent, but can’t match the salaries of the big groups? Phill Nosworthy explains what else you can offer to attract talented personnel.

ONE OF the biggest challenges for any

the rest. So get clear on what matters to

include them in the real stuff: leadership

small business is finding the right talent. In

you and how this connects to the decision-

meetings, executive coaching, exposure to

big cities, they must compete with large,

making process of potential recruits.

business planning and strategy plans and

well known or global organisations that

working closely with all departments.

4. Make them an insider

be intimidating and present challenges in

2. Commit to growing them as a professional and as a person

the recruitment process. However, there

People will work for you for less money if

looking for a pay cheque and a place

are distinguishable career rewards that

they know that they will grow massively

to clock hours - they are looking for a

set small venues apart from the big guns

during their time with you. So double

community to be part of. Welcome them

when it comes to employment offerings,

down on your commitments to invest in

into that community! Right from the start,

giving you a different currency to play with.

their skills as a budding entrepreneur or

connect them with your tribe and get them

Highlighting these incentives is key through

highly skilled contributor. Use your ‘low

plugged in to the circles that you move in. It

the recruitment process to ensure that top

process’ environments and ‘open door

will make them feel part of something much

talent gravitates your way instantly.

policies’ to their advantage. And take the

bigger than just your team, but it also will

time to understand where they want to

serve to keep them more securely attached

1. Make it about meaning, not just money

go in their life and career. Anything you

to your business over the long term.

There is solid research indicating that job

journey will be a reason for them to sign

Phill Nosworthy will be

seekers often look for roles that bring

up to work with you now.

delivering the keynote

are appealing to job seekers due to their competitive salaries and bonuses. This can

Your prospective employees aren’t just

can do to support them on that long term

meaning to their lives compared to those

presentation at the Pub

the past ten years, an individual’s career

3. Give them real work to do

has become an extension of their personal

By giving people real work to do, you

brand; people are yearning to connect the

can fast-track their career goals by years

dots between their values and their daily

compared to other larger organisations

actions, and work is a big part of this.

where they will have to ‘get in line and

Recognising and promoting your business’

wait their turn’. So share with your

purpose and values can set you apart from

prospective employees how you plan to

that pay more, particularly millennials. In

38 | Australian Hotelier

Leaders Summit on Monday 30 March at Doltone House Darling Island in Sydney.

To hear more of his insights, register for tickets now at Phill Nosworthy Executive advisor

www.publeaders.com.au

Want the latest pub news as it happens? Subscribe to our newsletter to keep up with all things concerning the industry.

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