Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Hotel and motel portfolio now on market in receivership sale

Sizeable hotel and motel portfolio now on the market in receivership sale

A large portion of New Zealand’s second biggest privately-owned motel and hotel chain has been put up for sale as part of a receivership process.

The SilverOaks Group featured six large accommodation businesses in Auckland, Rotorua and Wellington. The portfolio was previously placed on the market for sale by its then owners earlier this year. At that stage, the offering included:

• The SilverOaks Geyserland in Rotorua – a 68 room property overlooking the touristy Whakarewarewa Thermal Valley.
• The SilverOaks Resort Heritage ion Rotorua – a 41 room apartment style complex supported by a range of leisure activities and amenities.
• The Gwendoline Court Motel in Rotorua – an 18 unit business close to the city’s Maori arts and crafts attraction.
• The Oakwood Manor Motor Inn in Auckland – a 53 unit conference and function venue.
• The SilverOaks Inn Silver Point in Auckland – a 35 room conference and meeting location.
and
• The SilverOaks Hotel in Wellington – a 64-room close to the city’s botanical gardens.

The parent company running the six locations subsequently went into receivership. A sale has proceeded, for an undisclosed price, for The Oakwood Manor Motor Inn. The property was purchased with a view to continuing accommodation services and in the longer-term potentially adding retail premises as well as a possible residential development.

The SilverOaks Hotel in Wellington has been sold subject to a conditional contract, also for an undisclosed sum.

The remaining four hotels in Rotorua and Auckland are now are being sold through a receivership process by Bayleys - either as one combined portfolio, or as individual locations. Offers for the properties close on November 19.

The marketing campaign is being headed up by Paul Dixon and Mike Peterson of Bayleys Auckland, with local representation in Rotorua from Mark Slade.

Paul Dixon said the four remaining hotels in the former SilverOaks group were being traded in receivership by accountants Korda Mentha.

“This has maintained the financial integrity of the properties, and ensured that all forward bookings or reservations were fulfilled,” Mr Dixon said.

Mr Dixon said most of the hotels were in a fairly ‘tired’ stage of their lives, and varying degrees of investment would be needed to restore them to former glories and modern interior décor – both in the bedrooms, and the communal areas. Most of the hotels were built during the 1980s.

“Combined with the fact that the properties are now in receivership, albeit still generating some revenues, the receiver’s price expectations reflect a realistic appraisal of their current market position,” Mr Dixon said.

Leisure amenities within the SilverOaks hotels and motels feature swimming pools, spa and sauna rooms, tennis courts, BBQ areas, children’s playgrounds and mini-putt golf courses. Corporate services include conference and meeting break-out rooms. All of the properties have licensed food and beverage operations delivering restaurant and bar options, function catering, or in-room dining.

“One of the Rotorua properties, and the remaining Auckland site have potential for conversion into private rental accommodation, while the remaining two Rotorua locations could continue in the hospitality arena,” Mr Dixon said.

ENDS

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Strike: Lyttelton Port Workers Vote To Escalate Dispute

Members of the Rail and Maritime Transport Union (RMTU) at Lyttelton Port today voted to escalate their industrial action. Around 200 RMTU members have been operating an overtime ban since 17 December and today they endorsed a series of full withdrawals of labour at the port. More>>

ALSO:

Scoop Business: NZ Dollar Falls To 3-Year Low As Investors Favour Greenback

The New Zealand dollar fell to its lowest in more than three years as investors sold euro and bought US dollars, weakening other currencies against the greenback. More>>

ALSO:

Scoop Business: NZ Govt Operating Deficit Smaller Than Expected

The New Zealand’s government’s operating deficit was smaller than expected in the first five months of the financial year as a clampdown on expenditure managed to offset a shortfall in the tax-take from last month’s forecast. More>>

ALSO:

0.8 Percent Annually:
NZ Inflation Falls Below RBNZ's Target

New Zealand's annual pace of inflation slowed to below the Reserve Bank's target band in the final three months of the year, giving governor Graeme Wheeler more room to keep the benchmark interest rate lower for longer.More>>

ALSO:

NASA, NOAA: Find 2014 Warmest Year In Modern Record

Since 1880, Earth’s average surface temperature has warmed by about 1.4 degrees Fahrenheit (0.8 degrees Celsius), a trend that is largely driven by the increase in carbon dioxide and other human emissions into the planet’s atmosphere. The majority of that warming has occurred in the past three decades. More>>

ALSO:

Scoop Business: New Zealand’s Reserve Bank Named Central Bank Of The Year

The Reserve Bank of New Zealand’s efforts to stifle house price inflation by using new policy tools has seen the institution named Central Bank of the year by Central Banking Publications, a publisher specialising in global central banking practice. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news