Millennium and Copthorne Hotels New Zealand Limited (MCK) has announced the unconditional purchase of The Mayfair, Christchurch for $31.9 million, brokered by JLL, in a record sale price per key for a hotel with over 50 rooms in the Garden City.
The Mayfair, featuring 67 rooms, an award-winning café, and cocktail bar, opened in July 2022 and has been a sought-after destination in the Christchurch boutique hotel scene due to its proximity to the central city.
Interest in Christchurch
The hotel is nominated for a range of awards at the upcoming Hotel Management Awards Aotearoa:-Pacific for Best Boutique Hotel, Best Upscale Hotel, Best Luxury Hotel, and Best Hotel Restaurant to add to its title as TripAdvisor’s 2024 Traveller’s Choice Best of the Best Award it received earlier this year.
“After over a decade, we are very happy to have a hotel presence in Christchurch once again,” said MCK Managing Director Stuart Harrison. “Christchurch has always been a strategically important market for us, and the acquisition of this hotel comes at the right time as visitor numbers and interest in Christchurch are both increasing.”
“This sale is another example of the resilience of hotel properties, which hold up well compared with other real estate sectors when headwinds affect the economy and operating environment,” says Nick Thompson, Executive Vice President of Hotels and Hospitality at JLL New Zealand.
“While the sale price is well below the replacement cost of a new-build hotel, it represents a new record on a price-per-key basis for any other hotel with over 50 rooms in Christchurch. This is reflective of the larger guest room sizes, between 32 and 52 square metres, and is testament to the quality and service level that The Mayfair has become famous for.”
Hagley Park Proximity
JLL Associate Director, Karen Collis, highlights the long-term stability of the Christchurch market as a critical factor in The Mayfair being an attractive proposition for MCK Hotels.
“Christchurch has long been a reliable tourist market, and the broad range of boutique and luxury hotels in the city makes it a desirable destination for a range of travellers. The Mayfair’s proximity to Hagley Park and the Christ Church Cathedral are selling points for domestic and international tourists alike. This transaction is fantastic news for the market in the Garden City, and great timing for the hospitality sector ahead of the busy Christmas period.”
Glen Stapley, on behalf of the Directors of Mayfair Luxury Hotels Limited, highlighted the strong performance and notable achievements of the hotel since it opened in 2022, building its reputation to one of the best in New Zealand.
Hospitality NZ Awards
“Our people have worked really hard to get the hotel on the map, and being the 8th-ranked hotel in New Zealand and winning the Best Café in New Zealand at the 2024 Hospitality New Zealand’s Awards for Excellence are two of many highlights. The input and support of the hotel’s teams have been fantastic, and thanks to them, they have contributed to the hotel’s accolades and excellent reputation”.
The sale of The Mayfair, Christchurch, is one of a number of significant hotel transactions expected to be announced across Asia-Pacific before the end of 2024.
