12 Jun 2026
Words Thomas Stewart Adelaide Now

Former opal mine turned unique Coober Pedy motel listed for sale

A truly unique piece of South Australian history has hit the market offering everyday Australian’s the opportunity to own a Outback icon.

Previously a working opal mine, the hotel still holds plenty of its former glory as guests can walk through hallways and tunnels featuring seams of opals, hidden caves and other historical images of the building.

Hitting the market for a cool $2.5 million, the motel possesses sandstone tunnels that were sensationally transformed in 1990 to a remarkably unique stay.

The motel currently hosts 16 spacious rooms alongside one of Coober Pedy’s only function spaces for hosting up to 80 guests.

Sitting on 2530-square-meters, the hotel is merely just 700 metres from the town centre and has received rave reviews online, including a 4.6 out of five on TripAdvisor and a 9.2 out of 10 on Expedia.

Senior specialist accommodation broker for ResortBrokers, Kelli Crouch said a wide range of buyers were interested in the unique offering.

“This is a really unique property, so it’s likely to appeal to a buyer who appreciates Coober Pedy’s quirky character and tourism appeal,” Mrs Crouch said.

“A huge amount from a wide range of buyers, including syndicates, F&B franchisees looking to move into the motel space, and tour operators looking to do the same.”

Such is the uniqueness of the motel, Mrs Crouch said it’s extremely rare opportunity to have property like this hit the market.

“There are fewer than half a dozen underground motels in Coober Pedy, and the Coober Pedy Experience Motel stands out even within that exclusive group — it’s the only underground motel in town with its own function and conference centre, capable of hosting up to 80 guests,” she said.

“There’s also significant upside for the incoming owner. Nine additional underground rooms have already been excavated and are ready for completion. Once finished, the motel’s room count would increase from 16 to 25, making it the largest underground motel in Coober Pedy.”

The hotel previously was run as ‘Choice Hotels Comfort Inn’ for over 30 years before current vendor Hector Xu of Zed Motels purchased it in 2020.

Mrs Crouch said buyers are increasingly looking at regional opportunities.

“The property has been listed in two formats to broaden the potential buyer pool,” she said.

“Coober Pedy Experience Motel is being offered as a freehold going concern, which includes both the freehold and the business, or alternatively as a leasehold, being the business only.

“Our vendor is open to either splitting off a lease and retaining the freehold as a passive investment or, alternatively, selling the entire asset.

“The smart money is looking at regional opportunities, particularly in tourism-drive locations like Coober Pedy.” END