What it costs to buy a pub in Australia
The pub market runs from $600,000 country freeholds to $140 million metro trophies, and 2026 is a rising market: $1.6 billion plus changed hands in the first half alone. Here is how the market prices, tiered honestly.
What pubs sell for
| Tier | Price | Yield convention |
|---|---|---|
| Country pub leaseholds | $60,000 to $400,000 | priced on earnings |
| Country freeholds | from ~$600,000 | 7.5 to 9.5% (regional/SEQ) |
| Regional freehold going concerns | $1m to $5m | |
| Metro going concerns | $5m to $140m | ~6.75% Sydney metro |
| Passive freehold investments (tenant in place) | varies | ~5% |
The country end is the accessible one: a solid regional freehold going concern in the low millions buys the land, the licence and the trade. At the metro end, gaming entitlements carry a large share of the value, Queensland authorities recently repriced from about $660,000 to $565,000 each, which is a reminder that part of a gaming pub's price is a regulated asset with its own market.
What drives the price
Earnings first, then the mix: gaming income is valued differently from bar and bistro trade, accommodation rooms add an annuity, and the freehold itself sets the floor. Yields tightened through 2026 as confidence returned, so the market is pricing growth again rather than distress.
Financing a pub
Freehold going concerns are property-backed deals: indicative lending runs around 65% of the going-concern valuation where gaming is in place and around half without it, so plan a 35 to 50% deposit plus costs. Leaseholds indicatively fund at 40 to 50% of valuation, capped by the lease term. The loan follows the valuation, not the contract. Equity elsewhere in your property book can carry part of the deposit, at property-backed pricing of roughly 6% to 9% p.a. as a working rule. Start at business acquisition finance or the property-backed guide.
Frequently asked questions
How much does it cost to buy a pub in Australia?
Country pub leaseholds run $60,000 to $400,000 and country freeholds from about $600,000. Regional freehold going concerns typically trade $1m to $5m, and metro pubs from $5m to over $100m.
What yield does a pub sell on?
Around 6.75% for Sydney metro going concerns, 7.5 to 9.5% in regional and south-east Queensland markets, and about 5% for passive freeholds with a tenant in place.
How much deposit does a pub purchase need?
Indicatively 35% plus costs where gaming supports the valuation, closer to half without gaming, and leaseholds fund at 40 to 50% of valuation capped by the lease term.
Does gaming make a pub worth more?
Materially: gaming entitlements are a regulated asset with their own market value, and lenders extend higher gearing where gaming income is in place. It also concentrates regulatory risk, which the price should reflect.
From walk-through to structured offer
Tell us the pub and the earnings and we will come back with the deposit, gearing and repayment picture, usually within a day.
This article is general information only and not financial, credit, or tax advice. Ventas Asset Lending is a finance broker, not a lender. Approvals are subject to lender assessment. Consider your own circumstances and speak to a qualified professional, including your accountant for any tax questions.