The only large-scale accommodation offering in Matakana Village has been placed on the market for sale, attracting attention from investors eager to capitalise on the strategic location as the gateway to Northern Auckland’s coastline.
The Matakana Motel on 4,280sq m (more or less) of freehold land at 975 Matakana Road is offered for sale by Bayleys as a freehold going concern with a deadline closing at 4:00 pm on Thursday, 11th July 2024 (unless sold prior).
Bayleys in the North director Chris Blair says that investor appetites for commercial hotel assets remain strong, a testament to the market's confidence in the post-pandemic tourism rebound. However, the sector remains challenged by a finite supply of properties for purchase.
“Hotels as an asset class have demonstrated remarkable resilience through recent economic volatility, and consequently, investors have held on tight to well-located and high-performance properties.
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“The subject offering benefits from a natural advantage here, being the sole large-scale operator in a logistical tourism hub, which provides a new owner with the opportunity to leverage preferable growth fundamentals and a position proximate to Auckland’s iconic natural attractions.
“Matakana is established as a sought-after destination for local and international travellers, drawn by its renowned weekend Farmer’s Market and a reputation as a thriving hub for artisanal producers.
“The strategic location of the Matakana Motel offers direct and convenient access to this vibrant area via the main road. Moreover, a convenient ‘gentleman's agreement’ provides shortcut access from the local pub.
“Adding to its geographical appeal, the motel is positioned at the gateway to an array of attractions, making it a natural accommodation choice for visitors exploring the region. These include surf beaches at Omaha, Pākiri and Tāwharanui, Goat Island Marine Reserve, and world-class golf courses at Te Ārai and Tara Iti,” he says.
The Matakana Motel features buildings totalling 1,008sqm (more or less), comprising 20 visitor suites and a three-bedroom manager’s residence attached to the motel office.
There are 10 studio and 10 self-contained two-bedroom units of varying sizes, commanding rental rates upwards of $210/night in peak season.
Facilities include an in-ground saltwater swimming pool, a playground and trampoline area for children, a small gymnasium, and landscaped grounds. The Motel benefits from a bore and tank water supply and an on-site wastewater system.
Bayleys in the North associate director Henry Napier says the Matakana Motel is an ideal owner-operator business with management in place returning $963,317 gross per annum.
“The opportunity to acquire an existing passive investment opportunity with day-to-day operations handled by a professional management team whilst generating a stable and predictable income provides security and confidence for investors.
“At the same time, a low build-to-site ratio opens the door to add-value works, expansion or development, which would optimise returns and further position the current offering to leverage future projections for tourism demand.
“Significant infrastructural activity like the completion of the Pūhoi-to-Warkworth motorway extension has been a game-changer for accessibility to the immediate area, with transit now less than an hour to Auckland City in normal traffic conditions.
“Improved connectivity is a buoy for tourism operations whilst new residents are relocating to the area in search of lifestyle benefits. The broader Matakana area has been earmarked for significant expansion by the Auckland Council, which offers a new owner the opportunity to get in on the ground floor, acquiring a turnkey passive investment positioned to benefit from substantial growth in the decades to come.”
- Supplied by Bayleys
