The $19 million sale of Claridge House in Darlinghurst marks a significant milestone in the ongoing unwinding of assets linked to hospitality entrepreneur Jon Adgemis, whose Public Hospitality Group collapsed into receivership after years of financial distress.
The nine-storey inner-city accommodation asset at 28–30A Flinders Street has been acquired by Universal Hotels, owned by hotelier Harris Kospetas, following a competitive Expressions of Interest campaign conducted by Colliers.
Receiver sale following Public Hospitality Group collapse
Claridge House was sold on behalf of receivers appointed to Adgemis’ ill-fated Public Hospitality Group, which once controlled a large portfolio of pubs, hotels and accommodation assets across Sydney and Melbourne before entering administration.
The sale represents one of the more substantial inner-city disposals to emerge from the receivership process and underscores the continued dismantling of a hospitality empire that had expanded aggressively prior to its collapse.
Colliers Managing Director Matthew Meynell said the campaign attracted strong interest from across the market.
“The level of enquiry reflected sustained appetite for inner-city accommodation assets, particularly those offering scale, character and flexibility in tightly held precincts,” Mr Meynell said.
Prime Oxford Street precinct
Located near Taylor Square in the Oxford Street precinct, Claridge House occupies a prominent position within one of Sydney’s most tightly held inner-city hospitality and cultural zones.
The Art Deco flatiron building comprises approximately 2,169 square metres across nine levels and was formerly utilised as 63 boarding rooms. It was offered in coldshell condition, allowing for repositioning across boutique hotel, coliving or alternative accommodation uses, subject to approval.
The ground-floor space also provides scope for retail, food and beverage, cultural or communal uses.
James Cowan, Head of New South Wales Investment Services at Colliers, said the asset required a buyer with both operational capacity and financial strength.
“This was a complex asset that required a capable buyer with both operational expertise and balance sheet strength,” Mr Cowan said.
Universal Hotels expansion
For Universal Hotels, the acquisition represents a strategic addition to its Sydney portfolio and a further step in the group’s measured expansion.
Universal Hotels Chief Executive Officer Harris Kospetas said Claridge House presented long-term opportunity within a precinct the group knows well.
“It’s an asset with enormous potential located within a precinct that we know very well – it’s a really good fit for us,” Mr Kospetas said.
Karen Wales, Head of Hotels Australia at Colliers Transaction Services, said Sydney’s accommodation sector continued to benefit from tourism recovery, major events and infrastructure investment.
“Assets such as Claridge House with scale and zoning flexibility are increasingly sought after by sophisticated operators,” she said.
Strong competition despite selective market
According to Colliers, the campaign generated more than 250 enquiries, with 62 qualified groups accessing the data room and 17 offers submitted across two rounds – a result that points to tightening supply and improving investor confidence in Sydney’s inner-city accommodation market.
For the hospitality sector – and particularly within Greek-Australian business circles – the acquisition highlights the growing influence of Kospetas’ Universal Hotels as a disciplined, long-term operator willing to invest in complex inner-city assets with repositioning potential.
The Claridge House purchase reinforces Universal’s measured expansion strategy and signals confidence in Sydney’s recovering accommodation market, with Kospetas securing a landmark Oxford Street–adjacent asset at a moment of transition for the sector.
While the sale marks another asset exit from the receivership of Public Hospitality Group, its broader significance lies in what comes next – closing a long-running chapter in the Adgemis saga and opening a new one focused on renewal and potential.
