Rare freehold property in Greymouth up for grabs

Media Release

Rare freehold property in Greymouth up for grabs

21 April 2008: A rare piece of freehold commercial land in Greymouth, currently occupied by two historic buildings producing solid returns, is being auctioned later this month.

The 2316m2 (quarter-hectare) property in Greymouth’s town centre is in six titles and currently has two double-story commercial buildings on it – West Coast icon Revingtons Hotel, which the Queen once stayed in, and the adjoining Waitaiki House – plus a carpark.

Being marketed by Graeme Redmond of Harcourts Christchurch City Commercial Division and Kevin O’Donnell from Harcourts Greymouth, the property has already attracted interest from both investors and developers ahead of its 24 April auction in Christchurch.

The pair says the property’s valuable point of difference is that it a freehold investment, unlike most of Greymouth’s central business district. Further, with a number of long-term business leases in place in the existing buildings the property offers a good income now in addition to exciting future development potential.

“Most of the downtown buildings are on leasehold Maori land, so this property is a particularly rare opportunity. Also, with a range of existing businesses holding leases up until 2021 investors or developers will be able to take their time working on plans for future development of the existing buildings or major changes on the prime site.”

Located in Tainui Street, the key entry into the CBD, and in close proximity to State Highway Six, the property offers an impressive 58 metres of road frontage currently dominated by two local landmark buildings linked at first-floor level by a walkway.

Revingtons Hotel, a well known West Coast hotel which hosted the Queen during her Coronation visit to New Zealand in 1954, was built in 1937 and was last renovated twice in 2001. It now incorporates a sports bar, a public bar and two small casino rooms, plus 12 serviced and four unserviced bedrooms, two bunk rooms, a dining room, kitchen and bathroom facilities along with a reception area, office, staff room and manager’s flat.

Meanwhile Waitaiki House, which dates back to 1906, has been upgraded and modernised and currently contains four retail shops on the ground floor, with the second story containing 14 rooms leased to the adjoining hotel.

Mr Redmond and Mr O’Donnell say that while the two buildings are in reasonable condition given their age the site’s future may lie in a partial or total redevelopment.

“Street landscaping and flood protection work has already been completed and just as there is other renovation and redeveloped underway and planned in the popular tourist town, future owners of this property may decide to explore something totally new for this site.

“Given the size and location of the property astute investors or developers will definitely recognise the potential.”

Located at 37 – 45 Tainui St, the property, which currently returns an annual rental of more than $130,000, is being auctioned at 2pm on Friday 24 April. For more information visit www.harcourts.co.nz (ID: CC080322).

ENDS

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