Collapse of $61 million pub sale could cast fresh pall over efforts to rejuvenate Oxford Street

The collapse of a $61 million sale of Kinselas Hotel and Courthouse Hotel, two well-known watering holes at Taylor Square, could cast a pall over efforts to revitalise Oxford Street.

In September, the two pubs were sold to private property developer Virtical. However, since they failed to settle on the deal in time, the vendor, MA Financial, resolved to launching legal action to settle the deal.

The matter is now before the Supreme Court, according to a report by The Sydney Morning Herald.

The news comes as the iconic LGBTQ strip faces setbacks due to delayed construction on three blocks, increasingly empty shopfronts, and struggling venues.

Earlier in July, the Stonewall Hotel announced they would be closing their venue on Mondays and Tuesdays throughout winter due to dwindling foot traffic in the early parts of the week.

A Stonewall insider shared with Gay Sydney News that Mondays and Tuesdays are “completely dead” on the strip at the moment. 

In late June, Lord Mayor Clover Moore faced a room full of business owners disgruntled about the impacts of ongoing construction along Oxford Street. The three buildings concerned are owned by council but leased to developers AsheMorgan for 99 years.

Steph Győry from Darlinghurst Business Partnership told The Herald that it was probably better that the redevelopment of the two pubs did not happen, as it would mean more construction.

“It’s fine as it is,” he said. “Kinselas is a great venue, and the Courthouse works.”