Listing Ref: 471

Property Name: Alma Motel & STONZE Restaurant
Address: 16 Alma Road, Wanganui
Property Type: Motel
Sale Type: Business
Price:
Region: Manawatu - Wanganui

Configuration

This property consists of 20 x studio (sleeps 2-3) – 2 x 1 bedroom (sleep 4) and 5x2 bedroom (sleep 5-7). Some suites have spa baths.  The complex also boasts a swimming pool, spa and children's play area.

Owners Accommodation

A recently redecorated two bedroom owner's accommodation is conveniently located above the reception with internal stairs. 

Features

The property has undergone some refurbishment and redevelopment and now features the Stonegrill restaurant "Stonze". Adding this new dimension to the business is proving to be a major draw card not only from a corporate perspective but also from the free independent traveller and most importantly the local people of Wanganui.

Functions and conferences have now become part of this growing business providing a full service to those that require it. A full Sky TV service with big screen in the Bar and service to all rooms. Wireless broadband is also a feature of the property satisfying the demand for technology.

Alma Motel is close to the city centre, handy to sports fields; hospital and most other Wanganui attractions.

The refurbishment programme of the motel and the introduction of the Stonegrill restaurant "Stonze" has been of huge benefit creating a new focal point and dimension to the business. Unlike a normal restaurant, the Stonegrill concept is not reliant on a chef allowing for easy management and lower overhead in wages. A successful license arrangement of which the current owners have an exclusive agreement for the Wanganui area and first right to expand further.

Over the past 18 months the existing owners have invested heavily in Renovation, Systems and Technology and Marketing.

Renovation includes the upgrade of many units including flooring, blinds, paint, and fittings. A complete replacement of pillows, pillow and mattress protectors. Some new King and Queen Beds plus high quality rollaway beds and bunks.

Professional resurfacing of swimming pool and new pool filter. Installation of the gym.

Repainting of two large roofs. Complete resurfacing of driveway and parking area. Establishment of outdoor paved and landscaped dining area. Complete layered master keying of property allowing guests to access the gym and laundry with their room keys, cleaners block keys and full master keys.

Systems and Technology include two computerised touch screen tills (Restaurant and Bar), computerised accounting, booking and contact management. Public and private wireless networks, an internet kiosk, reception workstations and main server. Comprehensive operations manuals including templated enquiry, quote and confirmation letters, laundry, kitchen, restaurant and administration procedure as well as staff recruitment, OSH, orientation and training procedures. Add to that professional room compendiums, restaurant menus and wine lists and it all means a new operator can come in with good foundations and existing efficient operating systems.

Effective marketing has been placed in Jasons and AA books plus a significant investment make online as well as a customer database built. The results of this marketing investment are only beginning to flow through the Motel now and a new operator stands to benefit greatly from the marketing lead time.

The business has several distinct target markets that the existing owners have carefully identified, catered for and marketed to. The result is an increasing occupancy rate and significant forward bookings.

Due to the "hands off" approach from the current owners the business has been trading with a very minimal profit and requires someone with the will to take the business back to where it had once been.

A modest net operating profit will show a healthy capital gain for someone prepared to work for it.

Lease

New 30 year lease commenced May 2005 with a fair rental of just over $5,000 per unit.

For further information about this investment opportunity please contact Wayne Keene on021 666 991, wayne@resortbrokers.co.nz