A lakeside motel in the world-renowned holiday hotspot of Rotorua is for sale at the height of New Zealand’s summer tourism season.
The Cedarwood Lakeside Motel at 17 Holden Avenue, Holdens Bay, has 16 quality units from standard studios to two-bedroom lakefront suites offering views across Lake Rotorua.
The motel also includes a manager’s dwelling, reception area, and a small conference facility seating up to 36 people.
Set amongst the spacious 6,698sq m grounds, guests have use of a spa pool, heated outdoor pool, barbeque facilities, children’s play area and private jetty with a nearby boat ramp.
Colliers International has been exclusively appointed to market the property for sale by deadline private treaty closing at 4pm on Thursday 20 February.
Broker Danny Blair says it is an opportunity to invest in New Zealand’s booming tourism sector.
“The Cedarwood Lakeside Motel is popular with a wide range of domestic and international tourists, corporate guests, and small event and conferences groups.
“This attractive freehold investment is located within an easy eight-minute drive of Rotorua’s city centre and a two-minute drive from Rotorua Regional Airport.
“This proximity has made the motel a popular destination whilst visiting Rotorua’s world-renowned tourist attractions and adventure activities.
“The New Zealand tourism sector is currently experiencing unprecedented growth driven by record levels of international visitor arrivals and a healthy domestic market.
“The country’s hotel and accommodation sectors have never been stronger, recording an average occupancy rate of 80 per cent, with room rates having increased by over 33 per cent since 2013.”
Rotorua Broker Mark Rendell says Rotorua is one of New Zealand’s most vibrant centres.
“Rotorua is among New Zealand’s premier tourism destinations, popular with both international and domestic guests.
“The city is situated on the shores of Lake Rotorua and is famous for its active geothermal landscape, health and wellness offerings, Māori culture and adventure tourism.
“Rotorua is home to New Zealand’s fifth largest hotel market, with a current inventory of some 1,900 hotel rooms.
“Its popularity is partly due to its central North Island location, which is close to the populous ‘Golden Triangle’ centres of Auckland, Hamilton and Tauranga.
“This excellent proximity, along with the amenity of the regional airport, have helped to make Rotorua an integral part of the North Island’s international tourism circuit.”
The property for sale is located on a prime lake-facing site with unobstructed views over Lake Rotorua.
It is tenanted by HHG Tourism Limited on a long lease with 22 years remaining. The lease returns $175,000 plus GST in net annual rent, with rental reviews every two years.
Final lease expiry is in December 2041.
Built in 1997, the property has a net lettable area of 1,165sq m including 16 well-appointed guest rooms, a spa, reception and manager’s dwelling.
The guest rooms include:
- Four studio units and one two-bedroom family unit, each with bathroom and kitchen facilities, of 168sq m each;
- Four two-bedroom units with verandas and disabled access ramps of 209sq m each, and;
- Seven two-bedroom units with lounge, bathroom and kitchenette facilities, four of which are 209sq m and three of which are 157sq m.
The reception is located within the two-level manager’s residence building, behind a drive-through covered entry canopy.
The 168sq m ground floor of the manager’s residence includes an open plan lounge, dining and kitchen area, along with a bedroom, bathroom, laundry and attached garage.
The 142sq m first floor provides three bedrooms, a living room, bathroom and storeroom.
The 155sq m single-storey conference facility comprises a conference room, reception area, dining room, toilet facilities and kitchen at the rear.
The conference room is well equipped with an electronic whiteboard, projector, DVD player and TV.
A 23.5sq m spa and storage area includes a spa pool room, bike storage and a disused sauna that is used for additional storage.