Inner city properties on market
Two prominent Wellington properties, currently home to Danger Danger bar and Enigma cafe, are for sale.
The two neighbouring properties, 128 and 132 Courtenay Place, are being offered for sale by tender – separately, or together, on instruction from receivers BDO.
Both businesses are trading independently of the receivership sale of land and buildings.
The earthquake-prone properties are located at the Manners St end of the capital’s premium hospitality strip, just short of the intersection with Taranaki St.
The registered property owner, Hoda Holdings Limited, is in liquidation and receivership. Iain Shephard and Colin Gower of BDO were appointed as receivers in June this year.
Bayleys agent Andrew Smith said Courtenay Place remains the hospitality epicentre of the city with investment opportunities few and far between.
‘‘As a destination hospitality precinct, Courtenay Place is enduring,’’ Smith said. ‘‘Bars and restaurants along this strip are flourishing and you only have to witness the mass migration of rugby fans from the stadium to the Courtenay Place precinct on game night to see how popular it is.’’
Combined, the two properties currently return $351,710 net income a year.
The Enigma cafe trades from 128 Courtenay Place with 169.29 square metres of lettable space including a commercial kitchen and with an additional 71sqm courtyard, with an informal month-to-month lease.
The single-storey building was originally built circa-1914 and is primarily timber-framed with an iron roof and various brick elevations.
The building was formerly home to popular cafe Espressoholic from 1991 to 2009, when it relocated to Cuba St.
The building is earthquakeprone and will require strengthening by June 2030.
Danger Danger trades from 132 Courtenay Place with a six-year lease in place and further renewals beyond expiry in 2022. The lettable space is 267sqm across two levels with a further 161sqm of deck area.
The original high-stud structure dates back to the 1890s and it has undergone various refurbishments since. It also has timber framing, concrete flooring and an iron roof.
It is fitted out with a bar near the street frontage and a small kitchen and amenities to the rear.
There is a high-stud atrium in the centre of the building and a mezzanine floor with a second bar accessed via a steel stairway.
There is a balcony above the veranda and an outside guest area right at the street frontage.
The building is earthquakeprone and requires strengthening by January 2025.
Bayleys agent Mark Sherlock said while the simple timber buildings do require some remedial work to bring them up to current code, this is not thought to be a hurdle for investors keen to secure prime space along the high-profile strip.
‘‘This is quintessential Courtenay Place and buildings like these underpin the wider Courtenay quarter which extends down the side streets running off the main strip,’’ Sherlock said.
‘‘With the strengthening project on the St James building progressing, big plans afoot for the Reading Cinema complex, and escalating apartment development in the surrounding area, the Courtenay quarter is seeing substantial investment which shows confidence in the location.’’
Tenders close with Bayleys Wellington tomorrow.