Commercial property investors are being offered a unique and affordable chance to secure a street-front terrace occupied by some of Mount Maunganui’s best-loved beachside eateries and bars.
On offer is the shop frontage licence over a covered tile paved terrace at the base of one of the Bay of Plenty resort’s landmark commercial and residential complexes.
Positioned beside iconic Mauao/Mount Maunganui and opposite the Mount’s renowned surf beach, the terrace provides al fresco seating areas enjoyed by patrons of five ground-floor shops.
Deckchair Beachfront Café (occupying two shops), Sundowner Beachfront Bar and the Daily Dose Café and Bar, along with ice-cream store Monte Gelato, occupy shopfront terrace spaces under sub-licence agreements, generating a combined annual net rental return of $44,578 plus GST.
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Now for sale with an asking price of $795,000 plus GST (if any), the Marine Parade property is being promoted as a rare chance for commercial property investors to secure an affordable stake in the fast-growing beach resort.
The shop frontage licence at 2 Marine Parade, Mount Maunganui, Tauranga, is being marketed for sale by family sales team Brendon, Lynn, and Ryan Bradley of Bayleys Tauranga.
Brendon Bradley said the property’s accessible price point and multiple income streams made it a rare “entry-level” passive investment option in a highly sought-after location.
“Positioned at the corner of Marine Parade and Adams Avenue, the shop frontage property sits at the base of Tower One (2 Marine) of the Oceanside Resort and Twin Towers complex – a recently fully refurbished landmark building at the northern end of the Mount Maunganui peninsula.
“Along with six ground-level shops, Tower One (2 Marine) contains 10 levels of apartments plus basement car parking.
“Sub-licences of approximately 28 to 30 square metres each have been granted to owners of five of the six shops for terrace areas at the front of each shop, with a total occupied area of some 172 square metres,” Brendon Bradley said.
The sub-licences each generate annual net rental returns of between $6,860 and $10,200 plus GST, with built-in fee reviews every two years.
Lynn Bradley said the shop frontage licence serviced extremely popular and well-established beachfront eateries and bars.
“The popularity of these establishments is driven by their pivotal location at the base of Mauao/Mount Maunganui and overlooking the famed surf beach. The covered terraces fronting them offer some of the most desirable al-fresco hospitality and eating experiences in New Zealand.
“It’s no exaggeration to say this is a beachfront location of international renown. The Mount’s iconic surf beach has been crowned multiple times by TripAdvisor as New Zealand’s best beach and has also been ranked as one of the best in the South Pacific,” Lynn Bradley said.
Other drawcards in the immediate vicinity include the Mount Maunganui trek, base trail and lookout trail, Mount Hot Pools, and the renowned Mount Maunganui Lifeguard Service. Sheltered Pilot Bay and the main shopping strip on Maunganui Road are also nearby.
Zoned High Density Residential under the Tauranga City Plan, the property sits within an area that is intensively developed with mainly medium to superior-quality townhouses and apartments.
Ryan Bradley said surrounding businesses provided a diverse range of activities including retail, hospitality and visitor accommodation.
“This vibrant business mix is sustained by strong demand from locals and visitors, and a robust and diverse regional economy.
“Mount Maunganui is an ever-popular destination for visitors from New Zealand and abroad. It also benefits from being part of one of the country’s fastest-growing population centres and fifth-largest city, Tauranga. The city’s current population of over 120,000 is projected to pass 140,000 by 2026.
“Mount Maunganui has a strong industrial sector located around the Port of Tauranga, New Zealand’s largest export port by volume. The Tauranga region accounts for 45 percent of the Bay of Plenty economy, whose key drivers include tourism, horticulture, viticulture, kiwifruit, pastoral farming, housing, and exporting,” Ryan Bradley said.
- Article supplied by Bayleys
