Q022354 - Commercial Village Motel

Commercial Village Motel

Feilding

Introduction

Central Commercial Village Development

Property Brokers New Zealand presents an opportunity to own as part of a Central Commercial Village development an exciting 46 unit luxury motel as the anchor to this development. The motel, located in the central district of the developing Agri-town of Feilding in the ‘Manawatu’ central North Island of New Zealand.

This information memorandum provides a base of information to assist interested parties in their buyer’s assessment.

Property Brokers welcomes the opportunity to assist you by providing further information and arranging a viewing of this unique and exciting property offering.

Enquire today to receive a comprehensive information pack, including:

• Detailed site analysis and proposed plans

• Market demand analysis and projections

• Feasibility considerations and indicative returns

• Information on local planning and consenting processes

Bernard Linsley

Commercial Sales Consultant

M 022 183 2469

E bernard.linsley@pb.co.nz

The Opportunity

46 Unit Motel in the Central North Island of New Zealand

Imagine a contemporary, well-appointed 46-room motel designed to cater to the diverse needs of Manawatu’s growing visitor market and strong GDP performance.

This development offers:

• Scalable Design: Plans for a 46-room configuration.

• Modern Amenities: Envision comfortable, stylish rooms, potentially including a mix of studio, accessible, and family units. Consider amenities such as:

• On-site reception and management facilities

• Ample free parking for motel guests and visitors.

• Modern fit-outs, en-suite bathrooms, and high-speed Wi-Fi

• Strategic Location: Positioned to capture corporate travellers and leisure travelers with easy access to Feilding’s town centre and the Manwatu’s key attractions, and major arterial routes.

Property Information

31-35 Fergusson Street, Feilding

The land is currently subject to subdivision with a new title to be issued prior to settlement. Please see page 6 indicative boundary for the commercial development and motel development.

Exterior Render

Manawatū region

At a glance

The central North Island generates 22.4% of New Zealand's GDP, second only to Auckland's 33%. Manawatū is perfectly positioned in the middle of this economic powerhouse.

With strong road, rail, and air links to Auckland and Wellington, it’s a prime centralised location for national association and government events as well as regional events.

Introduction

The Manawatū Region

The Manawatū Regional economy is bolstered by the diverse mix of public and private sector activities and employment across the economy. This includes our large, stable sectors such as ‘health care and social assistance’, ‘public administration and safety’, primary and value-added food production including food research and innovation, ‘construction’, and a large and growing ‘distribution and logistics’ sector. The NZ Defence Force has two major bases in the area (region) ‘Ohakea’ with 1000 personel and growing, is home to a squadron of P8 Poseidon air surveilance and maritime patrol aircraft - the latest from Boeing and Linton Military camp is the largest army base in New Zealand with over 2000 personnel and increasing. A key economic driver in the region.

Our substantial export sector has also boosted the economic fortunes of the region. The “central rail hub” in Manawatū is part of a larger intermodal freight and distribution hub called Te Utanganui, which is being developed on the northern edge of Palmerston North. This hub integrates rail, road, air and sea connections to create a central logistics center for the lower North Island and New Zealand. The rail component is a planned KiwiRail Regional Freight Hub designed to handle increased freight demand and will include facilities for container and log handling, maintenance, and freight forwarding.

While our industry strengths have done a lot to support economic activity in our region during the recent challenges, over the year to March 2024 the uneven fortunes for sectors across the regional economy is evident.

There are large parts of the regional economy that have also continued to do well. Our large ‘public administration and safety’ and ‘healthcare and social assistance’ sectors grew in both contribution to GDP and employment over the March 2024 year. The strength of our rural sector has also taken some of the pressure off the regional economy, with record commodity prices and strong demand for products grown here, adding to revenues for our farmers.

Our workforce also continues to be highly skilled adding to opportunities for growth as economic conditions improve, and added resources are needed to boost economic activity and productivity, These attributes of the regional economy will continue to support economic activity until falling interest rates take the pressure off household budgets, household and business confidence improves and growing demand stimulates demand in our most adversely affected sectors.

There are growing opportunities from our industry strengths. Central government investment in defence capability is set to boost personnel and investment in capital in the region. This follows $520 million of defence investment across the wider region between 2017 to 2024. After a tough few years, our international education sector is showing signs of recovery. With a reputation for quality education and as a safe place to study, international education in the region is expected to be bolstered further. Newly completed and signalled investment in infrastructure projects will serve as an enabler of further investment and economic efficiency across our region.

The ‘Manawatū Regional Economic Structure Report’ provides a detailed analysis of the structure, performance and characteristics of the regional economy. The information included in the report is sourced from the Infometrics regional economic profile and the annual release of the Linked Employer-Employee Datasets (LEED) from Statistics New Zealand. The information published in this report is the latest data available for the regional economy.

Close to the city of Palmerston North is the largest electricity-generating series of wind farms in the southern hemisphere, with 286 turbines in the Tararua and Ruahine Ranges providing power for approximately 50,000 homes.

The Manawatū District comprising of the City of Palmerston North and the Agriculture market town of Feilding, New Zealand, is experiencing strong demand for commercial accommodation, making an off-plan 46-unit motel a potentially attractive investment. The regions growing economy, strategic central location, and significant infrastructure investments (an $8 billion pipeline) are driving this demand, with consistently high occupancy rates buffering the market from seasonal fluctuations. This makes the Manawatu a compelling proposition for commercial accommodation development. Motel stays are predominately Corporate circa 70% with 30% Events, Family and Tourists.

Why Manawatū?

Centre of it all

Manawatū’s central location offers a strategic edge for conferences. Approximately a 15 minute trip from the airport, with direct flights from Auckland and Christchurch. It’s within 1 hour, 40 mins drive of Wellington and major lower and central North Island centres.

Diverse Urban Centre

Home to over 130 cultures, the city offers a vibrant mix of international cuisine and toptier dining driven by its agricultural strengths. A rich arts, theatre, and museum scene is paired with great shopping for a wellrounded urban experience.

A growing region of connecions

The region is anchored by major sectors including distribution and logistics, education, defence, agrifood, agritech, health, and manufacturing. It’s also home to two defence bases, three tertiary institutions, and nearly $8 billion NZD in infrastructure investment this decade, accelerating growth now and into the future.

Investors can leverage our thriving business ecosystem which includes multinationals, startups, research institutes, public agencies, and defence industries. Business leaders consistently highlight the benefits of Manawatū’s location, access to talent, research and science capability, and availability of land.

Key Findings

The Manawatū region presents a compelling opportunity for new quality accommodation investment, underpinned by both strong underlying visitor growth and growing unmet demand from the business events sector.

• Visitation has surpassed pre-COVID levels, reaching 1.57 million in 2024 and forecasted to grow to between 2.1 and 2.7 million by 2034

• Commercial occupancy is set to exceed 84% by 2031, rising to over 90% by 2033, signalling significant capacity constraints

• Manawatū ranks in the top 10 nationally for business events and conferences

• Strong midweek corporate demand is fuelled by the region’s strategic central location and diverse business base

• Domestic overnight visitors are the backbone of the market, offering higheryield stays that support accommodation, F&B, and retail sectors.

• Commercial accommodation demand is driven by strong business, conference, and event activity, alongside visitors seeking specialist healthcare, education, construction, and leisure opportunities in the region.

Visitation Characteristics

• Domestic visitation comprised over 90% of all travel to Manawatū, with a stronger proportion of domestic overnight than domestic day trip visitation.

• This visitor makeup buffers Manawatū from seasonal demand fluctuations and factors that often influence international tourism.

• Demand comes from our strong business and conference and events sectors, as well as visitors accessing specialist healthcare, construction and infrastructure, education and leisure opportunities in the region

• The region benefits from strong road, rail, and air access to Auckland and Wellington, making it an attractive, centralised location for national association and government events as well as regional events.

Supply Capacity

Forecast Demand

• Commercial occupancy rates are projected to exceed 84% by 2031 and reach more than 90% by 2033, creating clear capacity

• Without additional supply interventions (e.g. new development, upgrades, or diversification), the region risks facing significant accommodation shortages over the next decade, potentially impacting visitor satisfaction, pricing, and the ability to attract new markets, particularly for business events and corporate travel.

• Motels remain the mainstream commercial shortstay option by capacity. Hotels are still limited and form a small share of the market.

Design Statement

Commercial Village Development

Feilding is distinguished by its rural charm and possesses a unique design characteristic established in 1874 from the large central square and original grid format a throw back to its Scottish design philosophy by the designer John Tiffin Stewart.

Drawing on this inspiration the Commercial Village Development is considered on multiple scales, to replicate many aspects of the towns distinctive architectural design in a modern format. Materials are used to create continuity across the development, with each typology uniquely grounding itself to offer the various uses seamlessly from the interior to the exterior. Subtle design elements, soften transitions between spaces and facilitates circulation within the public spaces This establishes a hierarchy within the roading network of the development providing opportunities for shared spaces and flexible programming that can adapt to the comminuity’s needs such as events or gatherings.

Anchoring this unique Commercial development with business hub, eateries and lifestyle relaxation

areas with community living including high quality town houses, we have an exceptional 46 unit motel. Completely blended into the Village surrounding.

In contrast to the robust hardscape and built forms, the softscape within the development introduces organic shapes and a sense of softness. Adding colour and texture, it helps unify the development and celebrates the existing green elements.

Built over two floors the ground floor is approximately 845 sq metres and a first floor with balconies is approximately 990 sq metres.

The motel consists of 42 x 23 sq metre studio suites 2 x 2 bedroom suites of 31 sq metres each and 2 accessibility suites of 29 square metres each.

Also there is a substantial Managers accomodation with two bedrooms with an option to include one of the studio suites to extend to three bedrooms if required.

The reception also has an administrators office and a lift to the first floor.

The development model for the commercial village and its motel supports ‘Walk-ability’ throughout, whilst still providing for easy access guest parking.

The building construction is to the highest standards as required in New Zealand to meet legislative seismic requirements. The building is characterised by the use of concrete form with beautiful traditional wood style cladding and is surrounded by plantings and trees and a quality streetscape that blends into the New Zealand green rural place.

The development’s architects Designgroup Stapleton Elliott (DGSE) is a nationwide, award-winning practice with studios located in Auckland/Tāmaki Makaurau,Tauranga/Tauranga-moana, Napier/ Ahuriri, Palmerston North/Te Papaioea, Wellington/ Pōneke, and Queenstown/Tāhuna.

Location

Feilding - Gateway Location

Feilding, consistently voted New Zealand’s most beautiful town, is a hub of economic activity and a desirable destination in the Manawatū region.

Economic Growth & Stability:

• Feilding’s economy is robust, with a diverse industrial base (notably goods-producing industries and professional/technical services) contributing significantly to its GDP.

• The Manawatū region’s visitor economy was valued at $582 million in the year to March 2023, demonstrating strong visitor spending

• Significant $8 billion+ infrastructure investments are planned and underway across the Manawatū in the current decade, attracting new industries, workers, and visitors, creating sustained demand for accommodation.

• Te Utanganui is a major multimodal freight, logistics, and distribution hub in the Manawatū region of New Zealand, centred around Feilding

and Palmerston North and its airport. Its strategic value comes from the integration of road, rail, air (24/7 freight via Palmerston North Airport), and sea-connected infrastructure, making it one of the country’s key logistics nodes.

Strong Accommodation Demand:

• Manawatū’s occupancy rates for commercial accommodation have been consistently high post-pandemic, indicating a clear need for more beds.

• A strong pipeline of corporate travellers seeking quality accommodation is driven by the region’s diverse business economy and central location.

• The thriving business, conference, and events sectors, along with education, science, and specialist healthcare, contribute to year-round, stable demand, buffering against seasonal fluctuations often seen in international tourismdependent areas.

• The Manawatū Destination Management Plan explicitly outlines the urgent need for targeted investment into commercial accommodation.

Prime Location:

• Feilding benefits from its central North Island location, providing easy transit access by air, rail and road.To other regions including the South Island of New Zealand.

• The town is known for its rural charm, vibrant town centre, renowned livestock saleyards (a significant drawcard), and numerous events and festivals.

Palmerston North Airport

Palmerston North Airport (approximately 15 minute drive) is undergoing a $43 million redevelopment to replace its ageing terminal with a new, modern 5,000 m² facility designed for greater seismic resilience, passenger comfort, and sustainability. The project, led by Palmerston North Airport Limited, includes a temporary terminal to keep operations running while construction occurs in stages through to late-2027. The new terminal will feature improved passenger areas, enhanced baggage and operational zones, and a striking timber-based (glulam) structure reflecting local design and environmental values.

Developed in a co-design partnership with Rangitāne o Manawatū, the upgrade supports the airport’s role as a key regional gateway and integrates with the wider Te Utanganui freight and logistics hub.

Importantly, the new infrastructure is designed to accommodate future domestic jet services, which would significantly boost connectivity and bring more visitors, business opportunities, and economic growth to the Manawatū region.

Manawatū

New Zealand’s Golfing Heartland

Feilding Golf Club: (18 holes)

Aorangi, Feilding. Approx 5 minutes drive.

More than 110 years ago a party of English cadets learning farming in colonial New Zealand, mapped out a nine-hole golf course on land known as the Lethbridge Estate. Feilding Golf Course is a beautiful park course with mature trees lining immaculately manicured fairways.

Our course very rarely closes due to its porous, well draining soils and our greens are of the highest quality and condition in the region. Now at Aorangi on the edge of town we have 18 holes of golfing bliss, while an easy walk, the course is challenging to all levels and a test for the best golfers that have played it.

Manawatu Golf Club: (18 holes)

Approx 30 minute drive.

Establised 1895. New Zealand’s oldest golf course. New Zealand’s best golf club cafe, bar and events centre. Members are proud. Visitors are welcome. Nestled beside the calm waters of the ‘Hokowhitu Lagoon’ Manawatu Golf club holds the title of New Zealands oldest golf club situated on the original course opening in April 1895.

With some of the best greens in country, PGA Tour member Tim Wilkinson compared them to some of the finest greens he has played on in the USA.

Orlando Country Club: (9 holes and superb driving range over the lake!)

Approx 15 minute drive.

Orlando Country Club is changing the way people experience golf, fast, fun and proudly local. Currently 9 holes, designed by the renowned Irish golf-course architect Tommy Cushnahan. The experience is a dynamic shorter game that can be completed in just over an hour.

Operating on a green fee basis, there are no members and with a superb semi enclosed driving range, (great fun for all the family) a cafe/restaurant experience second to non and a Chapel based inter-denominational wedding venue, the experience is truly unique.

Douglas Links: (Council-approved 18-hole links golf course, development planned)

Approx 1 hour drive.

Douglas Links is set on a wild stretch of coastline at Ōhau, Horowhenua just north of Wellington, south of Feilding, New Zealand. It’s shaped by the land, the wind, and a deep respect for nature. Here, golf is stripped back to its essentials: dunes underfoot, weather overhead, and every shot a conversation with the elements.

The bar and restaurant will astound with a simple laid back kiwi beach feel. Keep your hat on, wear a tee shirt and your jandals (flip flops). Soak in the amazing views over the golf course and out to the Tasman Sea.

Manfeild Park Stadium: Literally on the doorstep.

Manfeild Park Stadium, located on the outskirts of Feilding, is known for its worldclass motor racing circuit named after ‘Chris Amon’ a renowned New Zealand motor racing driver who drove in formula 1 for Ferrari and McClaren. The circuit is the longest with uninterrupted views in the Southern Hemisphere.

It has hosted numerous events, including the World Superbike Championship rounds and the New Zealand Grand Prix. The stadium is also suitable for a variety of other events, such as agricultural shows, trade exhibitions, and garden shows. The park covering 88 hectares has a multi-purpose indoor arena which can accommodate 5000 spectators.

Central Energy Trust Arena. Palmerston North: Approx 30 minute drive.

A leading multi-use sports and events facility that takes close to 3,000 bookings a year.

The Arena is home to 36 sporting codes and hosts a wide range of trade shows, exhibitions, weddings, dinners, conferences, meetings, seminars, festivals, concerts, and leisure events year-round. Central Energy Trust Arena is also home to ‘Robertson Holden’International Speedway and the Manawatu Rugby Union, plus our venues host a number of ‘Bunnings NPC’ rugby games and national sports tournaments. The Arena is a short walk from ‘The Square’ in Palmerston North.

Opportunities and Constraints

Site Analysis

Feilding Central

The town was named after Colonel William H. A. Feilding, a director of the Emigrants and Colonists Aid Corporation Ltd. who negotiated the purchase of a 100,000 acre (400 km²) block of land from the Wellington provincial government in 1871 called ‘The Manchester Block’ for UK pounds 75,000, NZ$22 million in today’s money! John Tiffin Stewart a Scottish engineer and surveyor took charge of the Manawatu District and it was he that supervised the subdivision of Feilding and Palmerston North establishing his signature super sized town squares and grid road system. Feilding town square features exquisite Edwardian Architecture for which the town is renowned. The town is the seat of the Manawatū District Council.

Feilding has won the annual New Zealand’s Most

Beautiful Town award 16 times. It is an Edwardianthemed town, with the district plan encouraging buildings in the CBD to be built in that style. The town is currently extending its CBD beautification featuring paving and planter boxes on the footpaths on the main streets in the CBD, including the realignment and beautification of Fergusson Street to the South Street entrance of Manfeild Park where the Commercial Village and Motel development is located.

The town is a service town for the surrounding farming district. The Feilding Saleyards has been a vital part of the wider Manawatū community for over 125 years. Manawatū is a diverse and fertile farming area with high production, high stock-carrying capacity, and a stable climate. These

factors make Feilding Saleyards a popular medium for many farmers.The Manawatū Plains, on which the town is sited, are very fertile land, and as such it is a very prosperous agricultural area of New Zealand.

The Feilding Saleyards is a historic livestock market operating since 1880, turning over around $2 million NZD in stock sales each week and playing a key role in the local economy. Guided tours run every Friday at 11am, offering visitors an up-close look at live auctions, farm animals, and working dogs, led by knowledgeable local farming guides.

Investment Opportunity

Key Selling Points for an Off-Plan Motel in Feilding - Manawatū

High Demand: Manawatū’s visitor economy was worth $582 million in the year to March 2023, and the region has a strong pipeline of corporate, event, education, and leisure travelers. Both Palmerston North City and Manawatū (Feilding) District councils are actively seeking and willing to work with investors to increase accommodation capacity.

Strategic Location: Central location in the North Island, with seamless transport links (road, rail, and air), makes it a key hub for business and sporting events, further boosting accommodation needs.

Potential for Capital Growth: Buying offplan allows investors to lock in a price before construction is complete. If the property market in the area continues to strengthen, there’s potential

for the property’s value to increase by the time of completion.

Modern Facilities: A brand-new motel will feature modern designs, fixtures, and fittings, which can command higher rental returns and attract tenants or guests more easily compared to older properties. This also reduces immediate maintenance concens

In summary, an off-plan 46-unit motel in Feilding presents an outstanding opportunity given the region’s strong growth and demand for accommodation.

This development is a significant investment opportunity in the heart of the Manawatū region – a 46-room motel development, strategically located in the vibrant and growing town of Feilding.

This is your chance to capitalise on Feilding’s

burgeoning economy, increasing visitor numbers, and a documented demand for high quality luxury accommodation.

MOTEL ACCOMMODATION PROPOSAL

MOTEL ACCOMMODATION PROPOSAL

Motel Room Materiality

Your Sales Consultant

Bernard Linsley

Commercial Sales Consultant

Having enjoyed a rewarding and extensive career both overseas and in New Zealand, including Owner/Director roles with four companies, of which two were taken to acquisition sale, Bernard is a valuable addition to the Palmerston North Commercial Team.

Bernard’s previous experience in both the real estate industry and project management roles along with his focus on professionalism and developing relationships, have allowed him to transition and navigate his way through the world of Commercial Real Estate.

Loyalty, reliability and commitment are all qualities Bernard possesses which will ensure his clients receive top class service.

Bernard’s business and sales experience coupled with Property Brokers team approach and strength in the Commercial Real Estate market make Bernard the ideal salesperson to assist with your Commercial Property needs.