The property on the corner of Lake Rd and Rangiuru St, has unobstructed views over Lake Rotorua. Photo / Supplied
The property on the corner of Lake Rd and Rangiuru St, has unobstructed views over Lake Rotorua. Photo / Supplied
A suitable hotel investor is being sought to redevelop a prime lakefront site in the tourism hotspot of Rotorua.
Located on the high-profile corner of Lake Rd and Rangiuru St, the 2381sq m freehold property is being marketed by Colliers International Hotels and the agency's Rotorua teams.
It is beingoffered for sale by way of an international deadline private treaty campaign, closing at 4pm on Thursday October 18, unless it sells earlier.
Dean Humphries, Colliers' national director of hotels, who has been tasked with finding a suitable buyer, says New Zealand is now in its sixth consecutive year of a tourism boom, which has seen the demand for hotels increase exponentially in recent times.
"With strong market conditions and existing hotels tightly held, this is creating opportunities for new hotel development in many regions throughout New Zealand.
"However, while new development has recently been concentrated in Auckland and Queenstown, Rotorua has had one of the best-performing hotel markets in the last 12 months.
"The city is now highly constrained in peak periods, creating an ideal opportunity for new hotel development."
Colliers Rotorua agent Mark Rendell notes Rotorua was recently rated fourth in TripAdvisor's World's Best Destinations for Travel Experiences Competition.
Identified by a blue border, the site is near Lake Rotorua and adjacent to the Novotel and Ibis hotels. Photo / Supplied
"This prime corner freehold site is arguably the best tourism redevelopment opportunity in town," he says.
"The property is adjacent to Novotel and Ibis hotels and directly across the road from the Lakefront Village Green, which is marked for a $40m upgrade and redevelopment by the local Lakes Council and Regional Development Fund.
"The site has unobstructed views over Lake Rotorua and Mokoia Island and out towards the Government Gardens.
"It is also just 400m to the heart of the city centre and in close proximity to many of the region's key tourism attractions.
"Furthermore, the site has highly desirable access to geothermal resources; these sites are rarely traded and will be highly sought-after."
Humphries believes the site ideally suits a new luxury hotel/spa resort, or possibly a mixed-use development including residential or serviced apartments.
"A 14-unit motel and bed and breakfast now trade on the site, providing valuable holding income while the new owner establishes the optimal outcome for the site," he adds.
