Only pool and gym in Hastings for sale
The only integrated pool and gym facility in Hastings is for sale, presenting an opportunity to acquire a recently refurbished, tenanted investment property on a new six-year lease.
Located in the heart of Stortford Lodge, 111 Maraekakaho Road is a purpose-built fitness complex that has been in operation since 1995.
The business is now under new ownership with a new lease in place as of Monday 11 November, returning $170,000 in net annual rent.
Colliers International has been exclusively appointed to market the property for sale by deadline private treaty closing at 4pm on Tuesday 3 December, unless it is sold earlier.
Broker Ian McLachlan says it represents a unique offering for Hastings.
“As the city’s only pool and gym complex, this property is ideally positioned to capitalise on growing demand for health and fitness services.
“The facility’s centrepiece is a four-lane, 25m indoor heated pool of a very high standard. This is complemented by a quality gym and activities area.
“The property underwent a major refurbishment last year including upgraded toilets, new pool showers, new card systems, new air conditioning, pool filtering and air flow systems, a new sauna and full decoration.
“It is superbly located within a block of Hawke’s Bay District Hospital and backs onto a Coffee Club cafe. There is also ample on-site car parking, making the property highly convenient for both tenants and users.
“The property also has good future redevelopment potential, as it could easily be converted to office or showroom use.”
The property comprises a 1,050sq m complex on a 2,023sq m freehold site with Light Industrial zoning.
The building has a 100 per cent NBS seismic rating. It is primarily built of precast concrete external walls with timber portal frames supporting a lightweight translucent roof.
The facilities are spread over three wings, all of which are on a single level aside from a first-floor lounge overlooking the pool hall.
The 339.5sq m pool hall wing is located to the western side of the building. It is accessed off a 143.4sq m entry and reception area, which sits below the first-floor lounge.
The 139.1sq m central gym wing is located to the south of the reception area, while the 129.4sq m aerobics wing was added to the east of the complex in 1996.
The property is leased to Complex Forme Limited. The gym offers members 24-hour access to its pool, spa, sauna and training facilities. Group fitness classes are also available between 6am and 6.30pm on most days but Sunday.
The fully equipped gym includes cardio equipment and weight machines. New hi-tech gym equipment is due to arrive in January 2020.
The gym’s lease includes a stepped rental provision whereby the tenant pays $150,000 in annual rent over the first two years, $160,000 in the third year, and $170,000 from the fourth year.
The vendor will guarantee the purchaser the full $170,000 in annual rent over the first three years, representing a $50,000 total incentive.
The lease includes two rights of renewal of six years each. Rental reviews are every three years from November 2024, to the greater of market rent or CPI.