Sydney’s famed live venue Oxford Art Factory could have a new landlord in the near future.
The beloved Darlinghurst venue will go under the hammer later this month and is expected to fetch about $5 million, according to a listing on CommercialRealEstate.com.
Oxford Art Factory has occupied the property since 2007 and still has hold of the lease until 2031, with options to extend that even further.
Current owner and operator Mark Gerber is selling the strata-titled property at 1/38-46 Oxford Street, which was previously occupied by Central Station Records and covers almost 600 square metres. Gerber plans to invest the cash in other venues.
“The business is not for sale, [Oxford Art Factory] is business as usual,” Gerber said.
The venue has hosted performances from a who’s who of rockers, from Dave Grohl and Taylor Hawkins of Foo Fighters to Courtney Barnett, Violent Soho and many more, and earns a net income of about $370,800 a year.
It’s pitched as a “top investment with longstanding operator” located in “arguably one of Sydney’s best entertainment precincts,” with a bunch of selling points from a “valuable” late liquor license to 3% fixed annual rental increases. According to the OAF’s website, the main room (the “live art space”) has a 490 capacity and its “gallery bar” holds a maximum 120.
Allan Levy, agent with Metro Commercial Property Group, said investors had shown good interest to the property, including unidentified parties who were particularly keen on entertainment venues. The vendors are motivated to sell and “are ready to put money into other venues”, Levy said.
The CBD hotspot went to auction in October 2015, but a buyer wasn’t found.
The new auction will take place on Nov. 28.