Six tourism businesses hit market
In an unusual coincidence for a provincial location, six quality hospitality and accommodation businesses in Tasman Bay at the top of the South Island have simultaneously come on to the market.
They comprise three sizeable accommodation providers and three unrelated food and beverage operations that have all hit the market within days of each other.
The six going concerns, some of which are offered for sale with freehold land and buildings, are all being marketed for sale by Bayleys Nelson and appear in Bayleys' latest Total Property portfolio. They are:
Harbourside Motor Lodge, 4 Duncan St, Port Nelson - a modern motel complex of 14 units overlooking the boat harbour in the Nelson Marina just a few minutes' drive from the Nelson CBD. Its good location generates a variety of guests from the tourist, corporate and family market segments. It features high quality chattels and an onsite owner/manager's residence with separate office, laundry and guests' breakfast room.
Gladstone Motel, 19 Gladstone Rd, Richmond - an upmarket motel business in a main road location comprising 12 luxurious family and executive units, some with spa baths. The 10-year-old property is close to the Richmond CBD and has attained a 4 star plus Qualmark rating. The owner's accommodation consists of three bedrooms, two bathrooms and a private courtyard.
The Laughing Kiwi Backpackers at 310 and 312 High St in Motueka - offering backpacker and motel-style accommodation in the heart of Motueka. Accommodation is spread over three houses called The Villa, The Bach and The Lodge and can accommodate a maximum of 40 guests. The owner's accommodation is a three-bedroom home located next door to the backpackers.
Chocolate Velvet retail outlet at 435 Nayland Rd in Stoke, a Nelson suburb - an established bakery business within purpose-built factory and producing quality takeaway food in an area surrounded by commercial and industrial businesses. As wholesale suppliers to the cafe trade it has a reputation for making arguably the best wedding, birthday and special event cakes in the Nelson-Marlborough region.
Verdict Bar and Cafe in Nelson at 189 Bridge St, Nelson - inviting restaurant and bar with landscaped beer garden and owners' accommodation taking in the entire top floor. The Verdict is situated on the city fringe and caters for lunches, dinners, after-work drinks, functions, weddings and special occasions.
Stoneridge Cafe and Maze at 298 Moutere Highway, Redwood Valley on the rural outskirts of Nelson - a favourite venue for weddings and special occasions, the business is set in a magnificent refurbished farm house with seating for 50 people inside. The sunny outdoor garden courtyard seats an additional 70 people. Beyond the cafe is the hedge maze, set among beautiful fields and trees.
Salesperson Tony Vining of Bayleys Nelson said it was pure coincidence that the six had all come on to the open market at the same time.
"The owners, independent of each other, have taken the maximum returns of what turned out to be a pretty good summer for Tasman Bay at the end of the season," Vining says.
"Some of the establishments had been quietly on the market for a number of months as their vendors tested the proverbial 'waters' to see what interest was out there among their respective industry sectors. Now, by going public with full marketing, it's open season.
"With standard due diligence procedures and settlement dates taking between four to six months to conclude, the vendors have put their venues on the market now to allow potential new owners to take possession in spring or into early summer - which is quite standard practice for those in seasonally-trading businesses."
Vining expects potential buyer interest for the accommodation businesses will most likely come from out-of-towners relocating to Tasman Bay for lifestyle reasons, while the food and beverage operations would most likely be bought by locals wanting to branch out into new activities.
Vining says hospitality and tourism had long been a mainstay of the Tasman Bay economy and there was little to suggest any decline in these industries in the near future.