Two Hobart waterfront venues that went into voluntary administration earlier this month will reopen this weekend as administrators try to keep the businesses alive long enough to find a buyer.
Post Street will open on Friday and Saturday evenings, while Obar (Observatory Bar) will open on Saturday night.
Apex Advisory Australia managing director Tim Booker said the decision was about keeping staff together and making the venues more attractive to potential buyers.
“We are opening the businesses tomorrow and Saturday to keep the workforce together,” he said.
“In addition, because of the nature of the businesses, they will be easier to sell if they continue to operate, even in a limited way.”
The venues are part of the Pub Banc Group, which entered voluntary administration on Monday July 6, forcing seven venues to close and leaving more than 80 staff without work.
Director Ian Vaughan blamed rising food, beverage, utility and insurance costs along with a shift in spending habits.
Booker said more than 35 parties had already expressed interest in buying the businesses.
“We continue to be encouraged by this level of interest in these businesses and continue to be focused on securing an outcome as soon as possible,” he said.
The reopening comes after a difficult trial run last weekend when three other venues in the group – Cargo Bar, Jack Greene and Post Street Social – opened their doors but struggled to draw crowds, sitting mostly empty on Friday night while neighbouring bars were packed.
Both Cargo and Jack Greene shut early on Friday due to low turnout, though Cargo saw a packed house on Saturday before closing.
The collapse has sparked a political row, with Hospitality Tasmania chief executive Steve Old calling out politicians for failing to support the industry.
Old singled out Hobart Lord Mayor Anna Reynolds, who responded by suggesting the Pub Banc Group had “overextended themselves by buying a lot of very large venues”.
Acting premier Bridget Archer has written to the federal government proposing a live music rebate scheme that would pay venues back half of what they spend on live performers.
Booker said decisions about opening the venues on future weekends would be made as needed.
