Prized properties for sale on Wellington’s hospitality strip
Wellington’s enduring destination hospitality precinct, Courtenay Place, is seeing a resurgence of activity with restaurants and bars reporting good patronage.
Commercial property within the broader Courtenay Quarter is traditionally tightly-held and seldom reaches the open market, so agents are expecting strong interest in two neighbouring properties for sale.
The adjoining properties at 128 and 132 Courtenay Place, at the Manners St end of Courtenay Place near its intersection with Taranaki St, can be bought individually or together.
Zoned Central Area, the properties are fully leased to Enigma Caf and Moustache Bar, with both venues having established operators.
Grant Young and Mark Walker of Bayleys Wellington Commercial are marketing the properties. Tenders close 4pm, Wednesday 15 June.
Young said the two properties have character and wide appeal for add-value investors and developers. “Rarely is there an opportunity to acquire property in Wellington’s hospitality epicentre, let alone two adjoining buildings.”
128 Courtenay Place is a single-storey building originally constructed around 1914 and is primarily a timber-framed structure with an iron roof and various brick elevations.
The building is currently fitted out as a funky cafe trading as Enigma, with the fitout having an L-shape dining area, commercial kitchen, amenities to the rear and a back courtyard with a near-full canopy, heaters and well set-up for outside dining.
Enigma Cafe Ltd has a three-year lease, with two three-year rights of renewal over the property which has a floor area of 169sq m and returns net annual rental of $145,480 plus GST.
The original structure of 132 Courtenay Place dates back to the 1890s and has had various refurbishment work since.
The 266sq m premises has a high-stud and primarily timber framing, concrete flooring and an iron roof, and 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 area accessed via a steel stairway. Further, there is a balcony above the veranda and an outside guest area right at the street frontage.
UM Holdings Ltd, trading as Moustache Bar, is on a six-year lease with three three-year rights of renewals. The property has a net annual rental of $87,880 plus GST, with personal guarantees in place.
Young says both properties were strengthened to a minimum 34 per cent NBS in September 2018. “A scheme to further strengthen the buildings to 67 percent NBS was undertaken by Tron Construction and Engineering in 2021, and this information along with costing details is available on request.”
There is additional long-term potential for the sites given the accommodating Central Area zoning, he says.