Auckland’s waterfront Mexicali Fresh for sale
Exterior view of the Mexicali Fresh restaurant at 137 Quay St, Princes Wharf, Auckland.
The popular Mexicali Fresh restaurant business on Princes Wharf in Auckland is for sale with a franchisee sought to purchase all of the assets of the business as a going concern within leased premises.
“Mexicali Fresh now has 16 stores and plans are underway for growth around the country,” says Nick Stevens, franchise broker with LINK Business, Ellerslie, who is marketing the waterfront restaurant business for an asking price of $715,000 comprising intangible assets of $468,000, tangible assets of $227,000 and stock estimated at $20,000.
“The franchisors are selling the company owned stores as franchises because they wish to concentrate and focus on the franchise system,” Stevens says. “This is the original store and it is still owned by the franchisor.”
He says Mexicali Fresh brought big American-style burritos and frozen margaritas to the Kiwi landscape in 2005 with the launch of the Princes Wharf restaurant.
“The store has been a huge success from opening and has paved the way for the group to expand,” says Stevens. “It’s a great location and the property had a refit earlier this year with the latest Mexicali branding so it’s already for the busy summer trade.”
He says the store is fully managed at present and has new neighbours opening up around it, bringing more customers to the east side of the wharf.
“After 10 years Mexicali Fresh on Princes Wharf needed a refresh itself to bring it up to brand standard. The result is a stunning looking restaurant incorporating the learnings and development from the subsequent 13 restaurants that opened after Princes Wharf. Mexicali Fresh Princes Wharf is now firmly re-instated as the flagship and spiritual home for Mexicali Fresh.”
Stevens says the sale of the Auckland Mexicali Fresh gives a new owner the opportunity to run an independently operated business as a franchisee with the guidance of an already tested and proven business and support systems.
"At Fresh, it’s all about the food,” he says. “Their motto is ‘Fresh is Best’ and this is not just a catchy phrase - they literally make everything fresh, in every store, each and every day. The kitchens are designed to be open to view, so customers can see all the food preparation happening when they visit.
Interior view of the Mexicali Fresh restaurant’s bar at 137 Quay St, Princes Wharf, Auckland.
“Everything they serve is either cut, chopped, fried, roasted or grilled daily in order to deliver the best food to the patrons.”
Mexican dishes include burritos, tacos, nachos, quesadilla, fajitas, mango chicken salad and even ‘paleo’ dietoptions.
The restaurant’s liquor licence was renewed in October and specialist drinks include the classical margaritas and Mexican beers.
Stevens says the outlet is currently fully managed with the manager working in the store around 40-45 hours per week along with has six full time employees and four part timers.
Restaurant opening hours are Sunday to Thursday 10 am to 9pm; Friday and Saturday 10 am to 10 pm.
“The franchisor also has nominated suppliers and it is important to note that all rebates derived from bulk buying are passed back to franchisees so they are assured that they are obtaining full value and brand benefits that the franchisor is able to obtain for them.”
The restaurant has a solid lease that was renewed in November for six years with rights of renewal taking a potential final expiry date through to 2021.
Stevens says there are many opportunities to expand the sales for Mexicali Fresh Princes Wharf to enhance an already active local area marketing strategy.
“Mexicali runs a daily special in order to stimulate the potential customers offering discounts, specials promotions, vouchers and membership reward cards. Since 2005, Mexicali Fresh has grown thanks to the loyal patronage of their guests. They want to thank those who have stood beside them all of these years and continue to encourage others to become loyal patrons as well. Mexicali’s Cabana Club Card programme allows them to do this..
“Accumulated points earn rewards and Cabana Club Card members are recognised on their birthdays with special offers and gifts.”
Stevens says the tangible assets coming with the sale of the business are best described as plant, fixtures and fittings like neon signage, office furniture, computers and fit out improvements made to leasehold premises.
Intangible assets include the skills, competencies and knowledge of the workforce, the organisational structure, key employees and their contracts and training policies. It also encompasses the use of intellectual property and intellectual assets of the business enterprise, systems and processes, company history and culture, management systems and processes, modern technology, location and lease and advertising material. Other intangible assets are valuable businesses relationships with customers, suppliers and stakeholders.
The estimated stock figure is based on the average stock holding normally required to sustain the business at its current levels of performance.