WELL known live music venue and pub The Sandringham Hotel in Newtown has been sold by the receivers.

A publican from Melbourne who owns a similar music venue has bought the hotel.

The new owners of the Sandringham Hotel in Newtown are Tim Northeast, from Hawthorn in Victoria, Matthew Everett from Fitzroy North, Richard Ludbrook from Windsor and Andrew Mansfield from Thornbury.

The Sando's name will be changed to the Newtown Social Club, and it will become a "sister" club to the Northcote Social Club in Melbourne.

Last Wednesday law firm Clayton Utz, acting for a company set up by the four publicans, applied to trademark the phrase with IP Australia, the government-run trademark authority.

The owner of the business is 387 King St Pty Ltd, the address of the Sandringham hotel in Newtown.

The registration of the trademark came two days after the company was incorporated and a Facebook site was set up for the new venue.

The Commonwealth Bank is expected to take a signifcant haircut on the sale. It is believed to be up to $1 million lower than debt owing.

The historic hotel formerly owned by industry promoter Tony Townsend has been in the hands of insolvency firm Ferrier Hodgson since July after Townsend defaulted on his loan to Bankwest, now part of the Commonwealth Bank.



The hotel had been in financial dire straits since mid 2009.



The sale price is a closely guarded secret however industry sources say it is well below the $3.6 million debt owed to the bank.



Prior to receivership the hotel, known as The Sando, boasted it hosted 70 bands a month.



Many Australian bands, including The Whitlams, began their career by playing at the hotel.



Ferrier Hodgson partner Morgan Kelly did not return calls and emails on Friday or today.



Ferrier Hodgson is also receiver of the Billy Hyde music stores, two of which closed on October 1.



There have been several hotel sales in Newtown in recent months, The Marlborough sold to John Singleton's consortium and The Bank sold to pub baron Bruce Solomon.



Originally published as The Sando sold to music industry figures