The organisation known as The Trusts has brought two established West Auckland tavern sites to the market for sale.
Colliers International brokers Josh Coburn, Michael Bray and James Appleby are marketing two freehold properties at 211 Richardson Road, Mount Roskill, and 215 and 217 Triangle Road, Massey.
The two taverns, plus substantial land holdings surrounding them, are for sale by tender private treaty due on November 9, unless sold earlier by negotiation.
"It is a strategic move by The Trusts, demonstrating that the business is increasingly investment savvy; it involves realising the maximum potential of these assets as development sites," Coburn says.
The Trusts - incorporating Waitakerie and Portage Licencing Trusts - has traditionally focused on retail and hospitality at its 12 hospitality outlets.
Chief executive Simon Wickham says over the years The Trusts has acquired several properties which it has traded-on, or in a few cases leased out.
"Under our new strategy, we are focusing on developing a third arm of the business - one of property investment," Wickham says.
"This will help to wider mission of giving back profits to the community, through property and equity, alongside profits from our liquor and future businesses.
"All profits are either re-invested back into this community-owned business, or directly into the community itself," he points out.
Wickham puts the decision to sell the taverns down to, a revolution in hospitality, "not only in New Zealand, but right across the Western world".
"These deals reflect a change in our strategy, which is now firmly focused on location and format," he adds.
Coburn says the two taverns for sale had become at odds with the Trust's modern hospitality objectives, "being somewhat outliers in that regard".
"Modern hospitality demands success in suburban or major town centres, or predominantly new developments around West Auckland.
"We want to maximise the value of sites these assets sit upon, taking advantage of their changed zoning under the Unitary Plan," Coburn says.
"With the rise of the experience-based retail and hospitality, a modern Friday night drinks bar is now almost indistinguishable from a modern casual restaurant.
"In the old days, you were either in a restaurant to eat or a tavern to drink. But today's customers demand more than that. They want modern fitouts and facilities that might serve as a cafe during the day, a restaurant in the evening and then a bar in the late evening," Wickham says.
"We can see more and more of these around Auckland such as the Flagship in West Harbour, Black Salt Bar & Eatery in New Lynn, or the Hangar in Lincoln North," he adds.
With West Auckland's rapid population growth, Coburn says the properties provide a serious redevelopment opportunity.
"The property at 211 Richardson is very well positioned with a significant land area of 8,187sqm and a desirable zoning with a number of options for developers, investors and owner occupiers, including a mixed use development," he says.
It is near Stoddard Road, a local town centre, and provides excellent access to main arterials and motorways with the south-western highway on-ramp only 750 m distant. It occupies an almost level site, with a 62m street frontage to Richardson Road, with the natural surroundings outlook of Hendon Park to the rear. With the Business Town Centre zoning under the Unitary Plan, the site is ready for redevelopment."
"There is a huge opportunity for a developer to make use of the land for residential and commercial projects, particularly since large parcels of serviced land (like this) are virtually non-existent in West Auckland."
The massive (17,274sq m) tavern at 215 and 217 Triangle Road, in Massey, sits on an elevated position close to the Northwestern motorway.
The 217 Triangle Road property comprises the front section of the combined landholding, with about 2,036sq m of elevated site, two attached residential units and a Light Industry zoning.
At 215 Triangle Road stands the Western Lights Tavern, occupying a sprawling 15,238sqm site with ample carpark.
"This property is zoned Mixed Use, allowing for a range of commercial and residential developments; so this is a rare development opportunity when you consider Massey's proximity to Westgate, Hobsonville and Whenuapai," Coburn says.
West Auckland's growing popularity has seen increasing development activity which houses the NorthWest Shopping Centre in Westgate. The property is three kilometres from central Westgate, and 16kms from Auckland CBD.
"There are very few properties like this one in West Auckland: large land holdings which lack significant buildings already on-site, yet which are adequately serviced for development. That makes this offering very special," says Coburn.
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