Retro bar represents a smashing opportunity

Interior of Smash Palace Bar in Gisborne with wacky Kiwiana on the walls. Photo / Supplied

Gisborne's famous Smash Palace Bar complete with an old DC-3, retro cars emerging out of trees and wacky Kiwiana on the walls is being marketed for sale as a going-concern through Colin McNab of Bayleys Gisborne.

The business has an asking price of $230,000 plus GST (if any) which includes its extensive collection of memorabilia and ownership of Dash, the resident cat.

Features include a DC-3 aircraft formerly owned by NAC, then Mount Cook and Southern Lakes Tourist Company; and later Fieldair.

Also adorning the walls is a large papier mache dinosaur and an antique bicycle with numbers around the front wheel used for prize draws by the bar's 200-strong Handle Club; New Zealand's first powered motor mower; chainsaws wedged into posts and four art works by local artist Daryl File who worked on the Lord of the Rings trilogy.

The bar has changed hands four times since it was founded 20 years ago by winemaker Phil Parker, whose winery was located behind Smash Palace in Banks St. Current owners Gus and Nicola Heuser have run 'Smash' (as it is often referred to locally) for the last five years, however, with their oldest child approaching school age, they have decided to sell the thriving business to spend more time with their family.

Named after the Kiwi film of the same name, Smash Palace was a very innovative concept when it was founded in 1990.

Parker was known as a big ideas man and has gone on to open three interactive wine tasting complexes called The Big Picture in Napier, Auckland and Central Otago.

"The idea of a casual bar filled with, and defined by, Kiwiana and eclectic memorabilia, in the midst of a busy industrial area away from the centre of town was originally seen as a bit out there by Gisborne folk when it was opened a couple of decades ago," Gus Heuser says. "However, the location works brilliantly as patrons come to Smash Palace with the intention of settling in for a few drinks - it's a destination bar.

"People come here with a purpose and know that they'll have a great time. The space we have is also very adaptable allowing us to hold live gigs, either on an indoor or outdoor stage.

"We've also held car and motorcycle shows, a tug-of-war competition and regularly host functions from 21st birthdays through to corporate parties," says Heuser, adding that the bar offers a full service including catering.

He says the bar operation has been streamlined and requires no specialist skills. Keen to transition new owners into the business, Heuser feels quite protective of the bar and its reputation and wants the good times to continue.

"I used to come here before I bought the business and I fully intend to keep coming here with my soccer team."

Most suited to a husband-and-wife team or other partnership where an owner is always on site, Smash Palace runs on minimal staff with a strong casual pool of ring-in help available.

The bar is currently open from 3pm-late on weekdays and 12pm-late at the weekend.

Trade is steady throughout the year with a roaring winter fire helping to even out the troughs of the trade and there is a healthy spike in turnover during big local events like Rhythm and Vines.

In the past, a courtesy van has operated from the bar to addresses around the city and the sign-written vehicle is included in the sale.

Smash Palace is not aligned to any one brewery with the current owners preferring to keep the options broad giving people what they want.

A new owner could forge new brewery alliances and as the bar is approved as an off-licence, a bottle store operation could be developed on-site providing another income stream.