Dannevirke hotel has varied income streams

4:53 PM Friday June 16, 2017 True Commercial

The Mangatera Hotel at 391 High St, Dannevirke, is on the main road between Wellington and Napier. Photo / Supplied

The Mangatera Hotel, Dannevirke, one of the largest multiple-revenue stream hospitality operations in the lower North Island, has been placed on the market for sale. The hotel has operated on its site in the Manawatu township since 1955 – although references to the public house date back to 1889 when pioneer settler Lawritz Triis built the first Mangatera Hotel.

The award-winning hotel is on the main road between Wellington and Napier — officially at 391 High St, Dannevirke.

It has twice been a finalist in the Hospitality New Zealand Awards for Excellence, in Best Hotel and Best Off-Licence categories.

The hotel, including land, buildings and business is being marketed for sale by Bayleys Napier with an asking price of $2,850,000.

Commercial salesperson Rodger Howie says the hotel’s buildings encompass a total floor area of about 1033sq m situated on 4433sq m of freehold land.

Howie says the business has been structured to ensure all aspects of a ‘country pub’ operation are catered for – with parking for up to 20 vehicles on-site, and truck and rig off street parking directly opposite the hotel.

“The clientele includes ‘regulars’ who visit the hotel on a weekly or monthly basis for a quiet pint with their mates or to pick up a supply of beers and wines to take home; ‘locals’, who use the hotel for its function and event-hosting capabilities such as birthdays or wedding anniversaries; corporate clients who book the hotel’s conferencing and event facilities as a ‘hub central’ to Hawke’s Bay, the Wairararapa, and Manawatu regions; and truckies and passing travellers who take advantage of the comfortable accommodation facilities.

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The sports bar has 15 gaming machines, a TAB betting service and pool table. Photo / Supplied

“The sports bar sustains 15 gaming machines, a self-serve TAB betting service, a coin-operated pool table, and seven big-screen TVs. The bar opens out onto a fully-fenced garden bar which is widely used over the summer months.

“Additional bar facilities support the function and conference room spaces which are capable of hosting 70 guests in a seated format, with dual entry points.

“This amenity is separate from the hotel’s restaurant, which has indoor seating for an additional 60 diners – with beverages served from the restaurant bar. This area also opens out onto the patio and outdoor garden area and has a warm and rustic atmosphere.”

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The fully-fenced garden bar is widely used over the summer months. Photo / Supplied

The hotel employs two full-time staff, with an additional pool of 12 part-time personnel working in all disciplines of the business during peak function and event periods, or on rostered shifts.

Howie says both dining areas, along with the sports bar, are serviced by the hotel’s commercial-grade kitchen which has gas hob grillers and ovens, a combi’ oven, deep fryers, extractor fans, walk-in chiller unit, newly-installed pizza oven, and a stainless steel high-volume plating and servery bench.

The hotel’s accommodation wing contains nine bedrooms in a mixed configuration of twin and double beds – all with their own tea and coffee making facilities, hand basins, and televisions.

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The hotel’s off-licence operates under the Super Liquor franchise umbrella. Photo / Supplied

Two rooms have their own en-suites, while the remaining seven share recently renovated toilet and shower facilities.

Rack rates per room range upwards from $ 70 per night. In the last financial year, the hotel recorded an average annual occupancy rate of 70 per cent.

Completing the multiple revenue-streams, the hotel’s off-premise arm operates under the Super Liquor franchise umbrella from a purpose-built 375sq m retail complex which was refurbished only three years ago. The building features a covered drive-through portico and a large chiller unit.

Howie says the property also comes with a three-bedroom owner/manager’s residence, and a 300sq m storage shed and workshop.