The premises housing a popular Mount Maunganui café are for sale offering a rare coastal investment opportunity in one of New Zealand’s top beachfront hospitality strips.

Positioned on a corner on Marine Parade, opposite Muao/Mount Maunganui and the Mount’s internationally renowned surf beach, the Beach Hut Café is a go-to destination for locals and visitors seeking coffee and eats.

Patrons enjoy a wide variety of hot and iced drinks and sweet and savoury food options from early morning to mid-afternoon seven days a week.

The duo of adjoining units housing the café form part of a six-shop retail offering at the base of Tower One of the Oceanside Resort and Twin Towers complex – a recently refurbished commercial and residential landmark at the northern end of the Bay of Plenty resort.

A single lease across the two modern units generates an annual net rental return of $86,375 plus outgoings and GST. The current lease runs through to 2025 with rights of renewal, if exercised, extending to 2037.

Shops 3 and 4, Tower 1, 2 Marine Parade, Mount Maunganui, are being marketed for sale by family sales team Ryan, Lynn and Brendon Bradley of Bayleys Tauranga.

The two Stratum in Freehold-titled retail units will go under the hammer at an auction on Wednesday 12 March, unless they are sold prior.

Ryan Bradley said the two units were approximately the same size, with a combined lettable floor area of some 106 square metres plus two secure basement car parks and storage lockers.

“Currently trading as Beach Front Café, this is a long-established hospitality tenancy with a proven track record of tenure. The premises consist of adjoining shops with the dividing wall removed. Each shop has a small display window and a set of double-entry doors to the pavement area on Marine Parade.

“Pedestrian doors at the back give access to a common facilities area with separate staff toilets,” said Ryan.

Lynn Bradley said the Tower One building the units form part of is a landmark Mount property.

In addition to its six ground-level shops, it contains 10 levels of apartments plus basement car parking.

“This is a pivotal location directly opposite the famous surf beach and the 232-metre-high landmark of Muao summit.

“The commercially consented units for sale sit within the High Density Residential zone under Tauranga’s city plan. The area includes numerous apartment blocks. These give a strong focus to the residential catchment catered to by the café. Nearby businesses offer a diverse mix of hospitality, retail and visitor accommodation including the nearby Beachside Holiday Park,” Lynn said.

Brendon Bradley said the Muao/Mount Maunganui trek and base trail, surf lifesaving club and hot water salt pools also attracted people to the area.

“Popular Pilot Bay and the main shopping strip on Maunganui Road are also nearby.

“The property for sale sits within a high-profile hospitality hub popular for its concentration of favourite eateries and bars in a key location.

“Affordable investments of this calibre are a rarity in this world-class coastal location. The upcoming auction therefore presents tantalising possibilities, the likes of which astute commercial property investors may not see again for some time,” Brendon Bradley said.