Listing Ref: 703

Property Name: Stafford House
Address: 40 The Terrace, Wellington
Property Type: Management Rights
Sale Type: Management Rights
Price:
Region: Wellington

Number of Rooms

301

Age

Office block conversion undertaken late 2002. 

Configuration

105 fully furnished and self contained units comprising:

• 91 x 3 bedroom apartments
• 14 x 2 bedroom apartments
• Reception and office
• Manager's unit
• Manager's car park and
• General storage area

Manager's Accommodation

2 bedroom unit.

Features

No tertiary qualifications are required to recognise the glowing financial rewards offered by this fully managed student accommodation provider.  

The subject of an office block conversion during the latter part of 2002, Stafford House consists of 105 modern, self contained 2 & 3 bedroom units.  Specifically catering for student accommodation the facility has consistently enjoyed full occupancy. 

Located at a prestigious position on The Terrace the facility offers its occupants easy access to Wellington’s central business district, transportation hubs and Victoria’s Pipitea Campus.  Hosting the Schools of Law, Government and Commerce for some 6,000 second year and beyond students, the campus is an obvious foundation stone user of Stafford House's accommodation apartments. 

Apartment and complex facilities include:

• A common lounge, fully equipped kitchen including a washer and dryer and bathroom with shower in each apartment
• Full furnishing packages within each apartment
• Wired Internet access within all unit bedrooms
• TV connection points within all unit bedrooms for free to air access channels
• Communal areas including a TV room, work project room, music practice and games room, computer suite and gym and
• Secured building access.  

In conjunction with the increased demand experienced by tertiary education providers, due to economic conditions and the close formalised relationship enjoyed with Victoria University it is envisaged referrals and corresponding occupancy demands will continue into the foreseeable future.  This economic resiliency of this business is clearly ascertained by both its financial performance and the number of students that call Stafford House home during the full tenure of their studies.

The broad appeal of the services, accommodation standard and locality of Stafford House will no doubt be an underlying factor in the future buoyancy of this outstanding business. 

Any prospective purchaser seeking a passive, managed investment (or those who may desire a more active role within the industry) must give this cash flow friendly investment their immediate consideration.  

A definite opportunity to buy well and buy with confidence. Additional details on property and region can be accessed at the following links:

www.stafford.maxnet.co.nz
www.victoria.ac.nz/home/about/maps/campus_pipitea.aspx

Business Details

On offer are the existing apartment leases of 7 years with 3 x 4 year rights of renewal, Management Agreement, VUW Agreement and respective renewal rights for each.

Financials 

Financial details and supporting information are available after the signing of a confidentiality agreement which can be found in the download panel.  On receipt of this agreement, a password will be supplied by the broker to qualified buyers.

Contact

For further information about this opportunity please contact:

• Gordon McGregor P: +64 9 369 9700, M: +64 21 998 810 E: gordon@resortbrokers.co.nz
• Dean Tutton P: +64 4 902 2195, M: 21 222 2292, E: dean@resortbrokers.co.nz 

Potential buyers should review an Australian summary of management rights by clicking on the reference below which is a historic and dated document but sets out the salient issues around management right ownership and operation.  Much of the content is relevant to the New Zealand situation:

http://www.resortbrokers.co.nz/research-and-reports/58/

There has been recent legal precedents with regards the status of management rights in this country and we recommend that all potential buyers of management rights read the decisions by clicking on the links below:

http://www.resortbrokers.co.nz/research-and-reports/131/

http://www.resortbrokers.co.nz/research-and-reports/134/