for sale - devencore victoria · pub, licensed for 120 seats, with two billiard tables, dart...

FOR SALEQuality Inn Waddling Dog Hotel

2476 Mount Newton X Road, Victoria BC

Prominent Landmark Near Airport Along Highway #17

Opportunity: To acquire a stable branded hotel with a

strong food and beverage operation, well

established private liquor retail store and

additional development land.

Description: 2.85 acre site with 30 room branded hotel,

120 seat pub/sports bar, 100 seat restaurant

and liquor retail store, providing a total floor

area of 29,275 square feet, nicely updated.

Location: Northeast corner of intersection of Patricia

Bay Highway (#17) and Mt. Newton X Road,

with 300+ feet of highway frontage.

Asking Price: Reduced to $6,275,000

For information, please call:

Randy Holt

[email protected]

Cell: (250) 888-1621

Rick Pettinger

[email protected]

Cell: (250) 686-3686

DTZ Victoria Real Estate Ltd.

888 View Street

Victoria, BC V8W 1K2

Tel: (250) 382-3400

Fax: (250) 382-1333

www.dtzvictoria.com

FOR SALE Quality Inn Waddling Dog Hotel2476 Mt. Newton X Road, Victoria BC

Overview:

DTZ Victoria Real Estate Ltd. is pleased to present

the offering for sale of the Quality Inn Waddling

Dog Hotel by Balmoral Investments Ltd., owners

and operators of the hotel since 1990. This

landmark Victoria facility sits on 2.85 acres and

offers 30 well-appointed rooms, consistently strong

food and beverage operations, an excellent liquor

retail store, meeting rooms, ample parking and

additional land for expansion. With improved hotel

industry fundamentals ahead, the subject affords

an excellent opportunity for income growth and

capital appreciation.

Victoria Hotel Industry:

While the local hotel industry was slow to recover

from the impact of the 2008-09 global financial

crisis, the 2014 and early 2015 results provide

solid evidence that better times are in store for

local hotel operators. A markedly improved second

half of 2013 was sustained in 2014, raising the

City’s overall REVPAR average by 10% in 2013

and another 9% in 2014, which was the highest

level for this key metric on record. An even

stronger start to 2015 confirms that a cyclical

turning point has now been reached.

Going forward, Victoria’s economy and population

are expected to enjoy steady long term growth that

should support improved hotel industry

performance. Strong cruise ship traffic, continued

airport expansion and rising Asia Pacific tourism

will also stimulate demand. Any increase in “rubber

tire” traffic originating from the U.S., in step with

their sustained economic recovery, offers more

potential upside. On the supply side, the ongoing

repurposing of older hotel properties to alternate

uses is a trend that is expected to reduce market

inventory, the benefits of which will accrue to the

remaining transient accommodation stock.

It is notable that in 2013, the prestigious travel

publication Conde Nast rated Victoria as #17

amongst the best cities to visit worldwide in the

magazine’s Readers’ Choice Awards. Vancouver

Island was ranked as the #1 island in North

America and #16 worldwide.

Tel. 250 382 3400 -2- www.dtzvictoria.com

Victoria:

Victoria is BC’s capital city and is located at the

southern tip of Vancouver Island with an extensive

and accessible shoreline that extends from Sooke

to Sidney and includes the Inner Harbour

downtown. Known as the “City of Gardens” and

boasting Canada’s most temperate climate,

Victoria is one of the most beautiful and livable

cities in the world.

The total population of the Capital Region was

376,422 in 2012 (BC Stats – January 2013). It is

projected that the population will reach 400,000 by

2020.

The region’s well educated population is served by

three post-secondary institutions, including the

University of Victoria (approximately 20,000

students annually, most from outside the City),

Camosun College (18,500 students, mostly local)

and Royal Roads University (2,775 students), all of

which have expanded steadily. They also

contribute to the City’s fast growing advanced

technology sector, which now directly employs

13,000 people and has annual revenue of more

than $3.0 billion.

The City’s economy is stable and enjoys steady

growth. The tourist sector brings more than 3.5

million visitors annually and generates more than

$1 billion in local spending. The capital’s

substantial public service, large naval base, vibrant

construction and shipbuilding industries and

diverse service sector also provide solid long term

employment prospects, keeping the local

unemployment rate at just 5.2% in March 2015.

Victoria REVPAR

Source: Chemistry Consulting Group Inc.


The Property:2

This fully serviced parcel of land provides a total

area of 2.85 acres or approximately 124,060 (+/-)

square feet. It has a slightly irregular configuration

and enjoys excellent exposure to the Patricia Bay

Highway with a total frontage of just over 300 feet.

Access is from Mt. Newton X Road, which affords

additional frontage to that arterial road of 243 feet.

The topography is level and at street grade. The

site coverage of the existing building is relatively

low at just under 15%, leaving a large undeveloped

area for expansion in the northeast quadrant of the

site.

The Location:

The subject property is strategically positioned

along the Patricia Bay Highway (#17)

approximately 12 kilometers south of the BC

Ferries terminal at Swartz Bay, 7 kilometers from

the Sidney ferry terminal (connecting to Anacortes,

Washington) and just 5 kilometers south of the

Victoria International Airport. The subject is the

nearest hotel to the Airport on the south side and is

the only zoned tourist accommodation property

with frontage along Highway 17 between Victoria

and Sidney.

Highway 17 is the primary connection (north-south)

between the Swartz Bay ferry terminal, the Airport

and the core municipalities of Greater Victoria.

Daily traffic counts along Highway 17 nearest the

subject typically range from 30,000 to 40,000

vehicles per day throughout the year. From the

subject, it is approximately 20 kilometers to

downtown Victoria heading directly on Highway 17.

The annual passenger volume at the Airport was

just over 1.65 million in 2014, 6.0% higher than the

previous year’s total. Growth forecasts by the

Airport Authority anticipate volume to reach the 2.0

million level over the next decade. The annual

passenger counts at Swartz Bay have been just

over 2.8 million in recent years and are expected to

have increased by 1.3% in fiscal 2015.

Access to the subject is facilitated by the signalized

intersection at Mt. Newton X Road, with a

dedicated advanced left turn lane for southbound

highway traffic and a right hand exit lane for

northbound motorists. A short left turn lane is

provided from Mt. Newton X Road to the subject’s

entrance driveway. Mt. Newton X Road is a key

east-west corridor connecting Highway 17 and the

adjacent Lochside Drive with the more populated

areas of Central Saanich to the west. Lochside

Drive is the scenic oceanfront route connecting to

Sidney.

The subject is roughly 300 meters from the ocean

shoreline to the east, offering limited views across

Cordova Channel to James Island from rooms on

the hotel’s top floor.

Victoria

Airport

Future

Jesken Town

Centre Site

Subject


The Improvements:

The original building is a wood frame structure that

was constructed in the 1960s, then subsequently

expanded in 1980 and 1993, renovated in 1997

and again in 2010. The exterior finish is “Tudor”

style with stucco and wood trim. There are asphalt

shingles on the pitched roofs. Windows are

predominantly thermopane.

The hotel includes a three-storey structure at the

south end of the site, encompassing the lobby, the

administrative office, a large meeting room (the

“library”) and a total of thirty guest suites (six on

the main floor and twelve on each of the two upper

floors). This section is served by an elevator.

An attached single-storey wing extends along the

west side of the property and is accessible from

the lobby. This expansive area houses “Sherlock’s”

restaurant, the “Waddling Dog Bar and Grill”, the

large commercial kitchen, a breakfast café and the

“Waddling Dog Beer and Wine Shoppe”. The main

floor footprint is approximately 18,125 square feet

overall and the total gross floor area is estimated to

be 29,275 square feet.

Nine of the hotel rooms come with two queen-sized

beds, the others having one standard queen-sized

bed. All are well furnished and meet the applicable

Choice Hotels standards for the “Quality Inn”

brand. Twenty rooms have connecting doors to

enable their use as suites.




The Improvements:2

The cold beer and wine store was added in 1993

and is located at the north end of the building. It

comprises approximately 3,782 square feet,

including the large walk-in cooler.

The “Bar and Grill” is a modern attractive sports

pub, licensed for 120 seats, with two billiard tables,

dart boards, multiple flat-screen TVs throughout

and an outdoor patio (licensed for 20 more seats).

There are two other restaurant areas on site,

including a café (licensed for up to 57 seats)

adjacent to the sports pub and a larger 100 seat

facility (also licensed with a 30 seat patio) closest

to the lobby.

The main electrical service is 800 amp. All of the

hotel rooms have individual wall-mounted HVAC

units while the restaurant, pub and liquor retail

store have roof mounted HVAC units.

The grounds are attractively landscaped and

include a total of 100 parking stalls. There is a

large pylon sign in the southwest corner of the

property nearest the intersection.

Zoning: C-5 Zone, Tourist Commercial

Permitted uses include travel accommodation,

rural tourism use and visitor attraction use.

Accessory uses include administrative offices, art

gallery, caretaker’s dwelling, conference facility,

gift and souvenir shop, indoor and outdoor

recreational facilities, maintenance, storage and

laundry facilities, personal service use, licensed

premises, restaurant (excluding drive-through) and

retail store (limited to sale of merchandise as a

convenience to the traveling public).

Financial Performance:

The financial results for the subject property are

confidential and will be made available for review

by qualified parties upon request provided that a

confidentiality agreement is executed in the

required form. Please contact the listing agents for

details.


Parcel Identifier: 001-695-801

Legal Description: Lot 4, Section 5, Range 4 East,

South Saanich District, Plan

3920, Except Part in Plans

30786 and 42490

Registered Owner: Balmoral Investments Ltd.

Asking Price: Reduced to $6,275,000

Information contained herein has been obtained from the owners or sources deemed reliable by DTZ Victoria Real Estate Ltd. While wehave no reason to doubt its accuracy, we regret that we cannot guarantee such information. All measurements and other informationherein should be independently verified by the reader or prospective user and are subject to the user’s own inspection of the premises

and due diligence work and to the user’s satisfaction with the results of such review.

For more information, please contact:

DTZ Victoria Real Estate Ltd. Tel: 250-382-3400

Randy Holt, Vice President Cell: 250-888-1621

Rick Pettinger, Managing Partner Cell: 250-686-3686

www.dtzvictoria.com

SUBJECT


Cordova Channel

for sale - devencore victoria · pub, licensed for 120 seats, with two billiard tables, dart...

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