Three iconic Hobart waterfront venues will reopen this weekend for what could be their final days of trade, with an urgent sale process underway after the owners entered voluntary administration this week.
Cargo Bar, Jack Greene and Post Street Social will open on Friday and Saturday night, with the team responsible for finding a buyer urging Tasmanians to come out in force and show their support.
The venues are among the seven across Hobart’s waterfront and suburbs which suddenly shut their doors this week, after owner Pub Banc Group and Hotel Banc Group entered voluntary administration on Monday.
Adam Johnston of Apex Advisory Australia was appointed administrator, kicking off an urgent sale process with numerous expressions of interest already received across the portfolio.
Apex Advisory Australia managing director Tim Booker said this weekend was a chance for the community to get behind the venues that have been part of the social fabric of Salamanca and the Hobart waterfront for years.
“These venues have hosted first dates, birthdays, farewells, footy wins and Friday knock-offs cage nights for a generation of Hobartians. This weekend, we’re asking the community to support these venues and their staff for what could be the last time,” Mr Booker said in a statement.
“Come down, bring your mates, have a meal and a drink, and show the staff, who are facing real uncertainty right now, that Hobart wants these venues to have a future.”
All three venues will open from 5pm until late on Friday and Saturday, with kitchens serving a shorter menu. Jack Greene will open for lunch on Sunday, while Cargo Bar will open for dinner.
Mr Booker said a strong turnout would “directly (support) the people who work in these venues and strengthens the case for a sale that keeps the doors open and the team together”.
“Buyers back businesses with loyal customers, and there’s no better way for Hobart to demonstrate that loyalty than by packing these venues out,” he said.
Depending on the weekend trade, the administrators may open other venues in the group for their own last drinks in coming weeks.
“We’ve been genuinely encouraged by the level of interest in these businesses,” Mr Booker said.
“We’re working around the clock with prospective purchasers, landlords, staff and financiers to secure an outcome as quickly as possible. But nothing is guaranteed. If you’ve ever meant to get down to Cargo, Jack Greene or Post Street Social, this weekend might be your last chance.
“We’d love to prove that wrong, and the best way to do that is a full house.”
Pub Banc Group and Hotel Banc Group employs more than 80 people across some of the city’s most well known establishments.
In addition to Cargo Bar, Jack Greene and Post Street Social, the group owns Observatory Bar, Franklin Wharf Restaurant and Bar, the Franklin Wharf Function Centre and Republic Bar.
Cargo Bar posted on social media earlier this week that the decision had resulted in the immediate closure of all the group’s venues and they were unable to host any upcoming reservations, private functions or scheduled events.
“We understand the massive impact this has on your plans — especially for those who have trusted us with milestone celebrations, weddings, and corporate gatherings,” the post read.
“Please know that this situation is entirely beyond our control, and we are devastated to be delivering this news to you so abruptly.”
The administrators were working to determine the process for prepaid bookings, function deposits and event cancellations.
Mr Booker previously said the purpose of the voluntary administration was to preserve the value of the businesses and move quickly to a sale or recapitalisation.
He said the aim was to reopen the venues under new ownership.
“Our objective is to protect jobs wherever possible, maximise the outcome for creditors and secure the long-term future of these venues for the Tasmanian community,” he said.
“The venues will cease to operate in the immediate term while an urgent sale process is undertaken.
“These are iconic venues with strong brands, prime locations and loyal patronage, and assets of this quality rarely come to market.
“We anticipate significant interest from hospitality operators and investors both within Tasmania and nationally.”
The group’s director Ian Vaughan told The Mercury the closures followed an extended period of challenging trading conditions.
“Our venues have been enjoyed by the Hobart community and visitors for many years,” he said.
“They have provided employment opportunities for local people, supported a wide network of Tasmanian suppliers and played a role in the social fabric of precincts such as Salamanca and North Hobart.
“The fact that we have reached this point is deeply disappointing.”
Independent MP and publican Kristie Clark told ABC Hobart venues were facing cost of living pressure and patrons did not have much discretionary spending.
“We also know there’s significant pressures on our costs from suppliers, we’re continuing to see costs increasing, whether that be our beverages or our food supplies, our insurance, or our rents,” she said.
“They all go up, unfortunately, and it has put significant pressure on small businesses.”
Hospitality Tasmania chief executive officer Steve Old said politicians were “quite keenly going around s**tcanning industries, trying to get rid of jobs in Tasmania”.
“And then they want to talk up the economy, I’m sick and tired of it to be frank with you,” he said.
“Politicians at local, state and federal level need to actually stand up for Tasmanian business, or this is what you’re going to get.”
— with NewsWire