Australian pub operators acquire Luna Park following international sales campaign

Yesterday, Oscars Group successfully acquired Luna Park Sydney from Canadian management company Brookfield for a sum that the AFR believes to be in the ballpark of $70 million.

Bill Gravanis, Managing Director of the Oscars Group, has since suggested a plan to increase the hospitality and tourism appeal of the iconic Sydney venue.

“Our goal is to further establish Luna Park as a Top 5 tourist destination for visitors, whilst also promoting it as an entertainment precinct for Sydneysiders,” he said.

“It is an iconic waterfront landmark on the best harbour in the world that presents a great opportunity for the Oscars business.”

Founded in 1986 with the acquisition of a single pub in Sydney’s Inner West, the Gravanis family has successfully grown Oscars Group into one of the country’s largest privately owned hospitality groups, with a portfolio spanning just under 50 venues today.

This includes recent acquisitions such as Crowne Plaza Surfers Paradise in Queensland and Unanderra Hotel in Wollongong.

Their latest Luna Park acquisition features 17 amusement rides, the heritage-listed Coney Island, and 7,000 square metres of building floorspace. This floor space includes both a 389-space car park and Big Top, which was recently redesigned by previous owners to be a 3,000 square metre multi-purpose venue.

Luna Park CEO John Hughes says that the venue has seen “exceptional momentum" in both ticket sales and visitation as it approaches its 90th anniversary.

“We’re excited about this next chapter, and the opportunities that Oscars Group ownership will bring to the park,” he added.

The deal, which was negotiated by real estate services and investment firm CBRE, presented a rare opportunity for hospitality groups to acquire one of Australia’s most iconic venues.

“The Luna Park business was a sought-after investment given its unique location on the shores of Sydney Harbour,” said Simon Rooney, CBRE’s Head of Retail Capital Markets for the Pacific.

“The diverse opportunities to leverage the existing assets and customer base to drive revenue growth via additional amusement, immersive and F&B initiatives were key drawcards for domestic and global buyers seeking value-add investment opportunities.”

Bill Gravanis added, “we would like to thank the teams at Brookfield and CBRE for their professionalism during the sale process… We are excited to be acquiring Luna Park and look forward to working with the team.”

Prior to Luna Park Sydney, Oscars Group’s previous acquisition was the Unanderra Hotel on NSW’s South Coast.

“Oscars Group has made a strategic move to enhance its presence in the lively hospitality scene of Wollongong and the South Coast, with the recent acquisition of the iconic Unanderra Hotel,” wrote a spokesperson for Oscars in June.

“As Oscars Group continues this exciting new chapter, the acquisition of the Unanderra Hotel underscores the group’s unwavering commitment to innovation, excellence, and sustainable growth. The team can’t wait to welcome you to the Unanderra Hotel, get ready to experience the OscarsGroup legendary warmth and hospitality.”