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Cafe offers buyers a taste of Europe

Cafe offers buyers a taste of Europe

Date Posted: Oct 10, 2009

ONE of Wellington’s best-known cafes, Astoria at Midland Park in Lambton Quay, is for sale as a going concern after almost 14 years of trading under the same ownership.
The owners of the popular meeting place, Sue Dempsey and Janice Kirkwood, are ready for new challenges and want to give others an opportunity to put their mark on the cafe.
Ty Dallas, of Colliers International, and Raman Khandu, of Tommys Real Estate, have been appointed to market the business.
The sale process is by tender with a deadline for offers of 4pm, November 4. The real estate company has produced a 38-page booklet providing a comprehensive view of the Astoria business for prospective buyers.
The cafe’s proximity to Parliament and several government department head office buildings means it is a popular location for public sector wheeling and dealing with private enterprise.
Mr Dallas said he and Mr Khandu had already received a high level of interest in Astoria.
He is confident the business will fetch a top sale price.
‘‘The Astoria is the largest cafe in the city, with 150 seats. In the summer, the outside seating capacity doubles with customers using the take-out service.’’
Mr Dallas said the 37-strong staff served more than 1200 cups of coffee a day, using 175 kilograms of roasted coffee a week.
‘‘One of Astoria’s points of difference is they roast their own coffee on the premises to the customer’s blend, which is a big saving for a new buyer of the business. There is potential to supply roast coffee to other operations.’’
The original concept for Astoria was modelled on cafes in Budapest, Prague, Vienna, Barcelona and Paris.
The interior design is based on European establishments, using large mirrors, decorative steelwork, banquette seating and a dark palette.
Wellington City’s ongoing success in securing major events such as the Monet exhibition, the World of WearableArt Awards, the International Festival of the Arts and topclass sporting fixtures have been a big boost to Astoria’s earnings.
Mr Dallas said the trend towards open-plan offices made cafes like Astoria an ideal spot for business meetings.
Business broker Mr Khandu agreed.
‘‘Astoria ticks all the important boxes for the sale. It has a sunny location, ambience and excellent returns.’’
During a power failure that paralysed most of central Wellington in January, Astoria was one of the few cafes that remained open, thanks to the building’s generator. While other coffee houses closed their doors, the queues at Astoria stretched out the door into the park.
At the time, general manager Stephen Keith told The Dominion Post the cafe made more than 800 cups of coffee in just over an hour – more than double the usual tally.
In 2000, Petone resident Jennifer Sage wrote to the editor of The Evening Post listing Astoria among ‘‘my 10 reasons for not leaving Wellington’’.
Astoria is expected to be operating under new ownership, with a secure lease, early next year.

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For more information, please contact:

Ty Dallas

Ty Dallas

Retail Specialist
Wellington Office
DDI: +64 (4) 470-3918
Fax: +64 (4) 499-1550
Email: ty.dallas@colliers.co.nz

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