The Waldorf Stadium Apartment Hotel in the heart of Auckland CBD is on the market for sale through Colliers International Hotels and CBRE Hotels.
The 178-unit strata title development is to be sold subject to a new 11-year performance lease, underpinned by guarantees from Japanese serviced apartment conglomerate Daiwa House Group, which has a market capitalisation of US$19,150 billion as at December 2017. The entity has recently acquired the Australia and New Zealand Waldorf serviced apartment business with further plans to expand in the region.
Wayne Bunz, National Director of CBRE Hotels, said the development was being offered for sale subject to a long-term management lease to one of the largest serviced apartment providers in the region, Daiwa House Group.
“This strong tenant covenant will provide investors with secure long-term returns moving forward. Another truly compelling highlight is New Zealand’s generous tax structure, Stamp Duty and Capital Gains Tax is not applicable on transactions.”
Built in 2008, the Waldorf Stadium Apartment Hotel is located in downtown Auckland in close proximity to the harbour’s edge, 12,000-capacity Spark Arena, Britomart Precinct and just 500 metres from Queen Street – the city’s main commercial and retail thoroughfare.
The hotel comprises a mix of studio, one, two and three bedroom fully self-contained apartments and is situated on a prime parcel of land, which is subject to a long-term ground lease to one of Auckland’s largest inner-city land owners.
Mr Bunz said the sale campaign came at a time of unprecedented growth in Auckland’s hotel sector.
“The current occupancy rate is 86 per cent and the market has witnessed RevPAR growth of nearly 13 per cent this year,” Bunz says.
“Auckland is one of the best performing hotel markets in the Asia Pacific region. Investors will therefore be assured of strong returns moving forward, which is further underpinned by one of the largest international serviced apartment operators in the world.”