85 Wakefield Street, Auckland Central, North Island
Management Rights with key Real Estate component
SOLD
Business Description
An excellent investment and income opportunity to own and operate a Management Rights business and key associated real estate assets in New Zealand's leading financial hub and capitalize on what we consider a very buoyant market for commercial accommodation assets in this class.
• The opportunity is on offer to secure a management rights business and key associated real estate assets within the complex, including office, reception and storage units, car parks, laundry and bathroom facilities
• Built in 2006 to 2007 in a prime CBD location, the Tetra Serviced Apartments property combines various apartment types covering different markets
• A building management agreement allows the operator to run a serviced apartment operation. An additional telecommunications agreement provides the ability to charge for internet and phone services
• Current owners operate a letting pool of 47 out of a total of 177 Apartments: A mix of Studio, one and two-bedroom apartments
• The rights come with a term of 19 Years, expiring in 2037
• Auckland's student accommodation sector has been a star performer in recent years and is bouncing back with the reopening of international borders post-Covid. The University of Auckland reported record-high applications for accommodation it provides this year
• The current owners have built the business to a level that can sustain a full-time management structure whilst offering excellent returns to shareholders
• New owners could take on the business's day-to-day running, or a passive investor could maintain a management structure similar to what is currently in place
This business has unique attributes, including key real estate assets and good configurations of room inventory, providing accommodation to several market drivers.
Contact Shitanshu Patel or Wayne Keene for a confidential discussion about this unique investment and income opportunity.
www.bayleys.co.nz/1694944
Business Summary
Key Investment Insights
1. The opportunity includes a management rights business and key associated real estate assets in a prime CBD location in New Zealand's leading financial hub.
2. The property was built in 2006-2007 and offers a variety of apartment types to cater to different markets.
3. The building management agreement allows for a serviced apartment operation and an additional telecommunications agreement provides the ability to charge for internet and phone services.
4. The current owners have a letting pool of 47 apartments out of a total of 177, with a mix of studio, one and two-bedroom apartments.
5. The rights come with a term of 19 years, expiring in 2037.
6. The student accommodation sector in Auckland has been performing well and is expected to bounce back with the reopening of international borders post-Covid.
7. The current owners have built the business to a level that can sustain a full-time management structure and offer excellent returns to shareholders.
8. New owners have the option to take on the day-to-day running of the business or maintain a similar management structure as currently in place.
9. The business has unique attributes, including key real estate assets and a good configuration of room inventory to cater to various market drivers.
10. Interested parties can contact Shitanshu Patel or Wayne Keene for a confidential discussion about this investment and income opportunity.
