They’ve long been part of the social fabric of Australia, but pubs are also turning heads for something else: their investment potential.
Insights from Stara are helping to demonstrate the unique investment profile that pubs hold among Australian businesses, with Queensland leading the way for growth and average yields.
The Stara-backed Venu Hospitality Fund, a Corporate Collective Investment Vehicle (CCIV), offers investors a select portfolio of Queensland pubs, combining real estate ownership with strong operating returns.
Unlike other commercial property assets, which rely solely on rental income from tenants, pubs generate diversified revenue across multiple business lines such as food and beverage, retail liquor sales, gaming, functions and short-stay accommodation.
This layered income model gives pubs the flexibility in responding to market conditions, with each revenue stream helping support the others.
Patrick Weightman, Director of Stara and the Venu Hospitality Fund, said average yields for Queensland pubs had historically been higher than those in NSW and Victoria, while population growth had added an average of 139 potential patrons for each Queensland pub.
“Queensland’s tight liquor and gaming laws also make entering the market tough, meaning the venues that already hold licences and entitlements are often more valuable,” he said.
“We see pubs as an under recognised opportunity. They are community hubs, they generate steady income, and they’re not going anywhere. It’s a sector that’s primed for serious investment, especially when you bring the right team and structure to it.”
The insights come as part of a broader strategic focus for the Venu Hospitality Fund, which also operates 10 iconic venues, including Madame Wu, Chu the Phat, and multiple Beach House Bar & Grill sites, alongside major freehold assets like the Beachmere Hotel and Pine Beach Hotel.
The Brisbane 2032 Olympics offers another reason for confidence in Queensland pubs.
“The Olympics provides a runway for significant infrastructure investment over the next eight years,” Patrick said. “In stark contrast to Victoria, investor sentiment towards Queensland is strong and anticipated to increase as infrastructure is delivered in the lead up to 2032.”
With long-term population growth and renewed interest in experiential venues, Stara is backing pubs not just as legacy assets, but as a smart investment for the next decade.
