Historical hotel on market for $7m

Rotorua heritage building and iconic business The Princes Gate Hotel is up for sale. Photo / Ben Fraser

An iconic Rotorua heritage building and business is for sale, with an asking price of a cool $7 million.

The Princes Gate Hotel has been listed on the TradeMe website since December 19, and interest from potential buyers shows it should not be on the market for very long, Resort Brokers real estate agent Ray Hart said.

"Yes, we have had quite a lot of inquiry about the property from a range of buyers, some from overseas and some local."

There were various types of potential buyers, he said.

"Well, all sorts really, right across the board you have people that are looking for that type of investment. The property has not been on the market for 50 years."

Princes Gate Hotel has been owned by Brett Marvelly for 29 years, and was New Zealand's first private hotel.

It was originally built in 1897 in Waihi and was called The New Central Hotel.

It was moved to Rotorua in 1917 and renamed Princes Gate Hotel after the Princes Gate Archway located directly opposite. The archway was built to commemorate the Duke and Duchess of Cornwall's visit to New Zealand in 1902.

The 4.5 star hotel has 35 rooms, which are all individually decorated, and 16 one and two-bedroom apartments.

The property has its own thermal bore which heats the hotel.

The spa complex includes a swimming pool, rock pools, private pool, sauna and massage facility.

The potential buyer would buy the business as a freehold going concern, purchasing the land, buildings and business, according to the website listing.

Mr Marvelly declined to comment when approached by the Rotorua Daily Post.