Belle motel in prime spot at Mount

The Mission Belle motel, on a prime corner location on Pacific Ave/Victoria Rd, is 200m from Mount Maunganui's retail hub and 800m from the main beach.

Immaculately maintained beach accommodation has 12 solid units and business operators keen to stay on

The tenant has a strong emphasis on marketing, particularly online, and this has helped establish a very well-run business for the property.Brendon Bradley, Bayleys Tauranga

A 12-unit seaside motel on the inner harbour side of Mount Maunganui is for sale as a going concern, with its freehold land and buildings.

The Mission Belle Motel at 1 Victoria Rd is being sold by tender, closing on December 12, by Brendon Bradley of Bayleys Tauranga.

Bradley says the Mission Belle Motel was built in 1996 on 1188sq m of freehold land and generates annual rent of $109,750 from the business operators.

The motel is leased to them through to 2021, with an optional two-year extension and a further five-year right of renewal with the rent reviewed every two years.

The accommodation units are split into three wings, totalling 677sq m of space. The motel buildings are constructed of reinforced concrete with plaster finish over a mix of concrete block and timber-framed walls, with aluminium joinery and a roof of concrete tiles.

Bradley says the Victoria Rd and Pacific Ave corner location of the Mission Belle puts it in a strategic position as one of the closest motels to Mount Maunganui's central retail hub, just 200m away.

Pilot Bay in Tauranga's inner harbour is a similar distance from the motel, while the main ocean beach is 800m away in the other direction.

The motel's 12 units are configured in two small studio units, two standard-sized studio units, five one-bedroom suites and three two-bedroom units. Rooms on the upper level have harbour views.

The supporting infrastructure includes a boiler and drying room with gas heater, laundry, barbecue area, reception lounge and office, and toilets.

The manager's open-plan accommodation consists of three bedrooms, a kitchen, dining room, lounge, bathroom and toilet.

Two of the bedrooms have en suites, and one has its own balcony. A plaster-finished wall encloses the property to deliver privacy for guests and the motel's operators.

"After a bumpy year with the after-effects of the Rena spill in the summer of 2011/2012, the Mount's tourism and hospitality sector has bounced back strongly, and the Mission Belle is reflective of that positive outlook," Bradley says.

"The tenant has a strong emphasis on marketing, particularly online, and this has helped establish a very well-run business for the property.

"Part of the motel's attraction to guests is the quality of the property as a whole, and the high degree of maintenance, both externally and internally, that is undertaken on the grounds and within the accommodation units.

"Working in such a prime asset has been the primary reason why the current operators have been continuous tenants for the past 17 years, and have a desire to remain on until at least the end of the extended lease terms.

"From an investment perspective, that's an obvious consideration when valuing an asset like this."