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Landmark Hamilton hotel set for sale on a grand scale
Landmark Hamilton hotel set for sale on a grand scale
One of Hamilton’s most prominent and historic landmarks, the Le Grand Hotel, has been placed on the market for sale.
Situated in heart of the city’s retail and hospitality precinct, the Le Grand Hotel occupies a heritage-listed building constructed in 1925 as The Wesley Chambers.
The Wesley Chambers was the first multi-storeyed building in Hamilton constructed of reinforced concrete, and the first to have a lift.
Since it began operating in 1995, the hotel has gained a reputation as a high quality accommodation venue catering for tourists, business travellers, conferences and weddings.
The Le Grand Hotel business, along with the leasehold interest in the Le Grand Hotel building and two adjacent retail and office spaces located at 237 Victoria Street and 25-27 Collingwood Street, otherwise known as the Wesley and Methodist Blocks, have been placed on the market for sale by Bayleys through a tender process closing June 28.
Alternatively the opportunity exists to purchase the property as a tenanted investment, with the hotel having a tenancy in place, or to purchase the hotel as a separate trading entity, providing options for interested parties.
Jointly marketing the properties for sale are Bayleys Auckland salesperson Mike Adams and Bayleys Hamilton salesperson Mike Swanson.
The combined properties cover a total land area of 4044 square metres contained in one title, with three road frontages on Victoria, Collingwood, and Alexandra Streets.
The Le Grand Hotel comprises 39 rooms ranging from standard rooms to executive and terrace suites, all featuring ensuite bathrooms, TV and associated amenities.
The hotel features three conference rooms which can cater up to a total of 350 people, and one boardroom, all of which have access to state-of-the-art video conference facilities.
In addition, the hotel features a business centre, on-site restaurant and café (currently leased out), catering for up to 260 guests with a banquet-style dinner. There is also a substantial terrace deck on level two which overlooks Victoria Street.
There is covered parking for 20 cars at the rear of the building, which can be accessed from the service area which runs from Alexandra Street.
The other leasehold interests include a three-level building comprising ground floor retail and two office floors on the corner of Collingwood and Alexandra Street which is currently vacant. There are also eight tenanted retail premises located on the Victoria Street and Collingwood Street frontages of the properties included in the sale.
The combined tenancies within the property provide a total annual net rental income of approximately $256,000.
The tenants include a number of ethnic restaurants and cafes, the Sands Restaurant which operates from the Le Grand Hotel, a women’s fashion shop, and a tattoo studio.
The land occupied by the hotel and adjacent buildings is leased from the Hamilton Methodist Church for $210,000 per year plus GST. The 25-year lease includes four 25-year rights of renewal, with a final expiry of 2137.
Mr Adams said the sale of the Le Grand Hotel presented a good opportunity for a new owner to take on such a versatile and established accommodation business situated in a high profile location and stamp their mark on it.
“This is a unique opportunity for an existing accommodation operator or investor looking to take on not only an established hospitality business, but also gain a rental income from a number of retail and hospitality operations,” he said.
“There is considerable opportunity to add value to this investment – both through the vacant retail and office building, as well as the potential to expand on the facilities currently offered by Le Grand Hotel.”
Mr Swanson said as well as being strategically positioned in the well patronised hospitality hub of the city, the Le Grand Hotel was just 250 metres from the Sky Casino.
“The Waikato River is nearby and the property’s location offers easy access to the main north/south motorway system.”
ENDS
Bayleys Real Estate
New Zealand
Bayleys is New Zealand's largest full-service real estate company. We offer expertise in the marketing and sale of a wide range of property, including residential real estate, farms and lifestyle blocks, and commercial and industrial property. This includes tourism and business sales such as hotels and motels. We also cover the real estate markets in Fiji and other Pacific Islands.
Bayleys also provides a complete property and facilities service including property management and valuations teams focused on achieving both Owner and Tenant satisfaction.
No other real estate company can match our breadth of coverage across all market sectors throughout New Zealand.
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