Four adjoining character commercial buildings on the high-profile corner of Dominion and Valley Rds, in the hub of the Mt Eden-Dominion Rd retail precinct, are marketed as "a flagship investor opportunity" in Bayleys' latest Total Property portfolio.
The freehold 1088sq m property will be auctioned on April 10, unless it sells before by private treaty.
The sale involves three two-level buildings at 224-234 Dominion Rd, and a single-level building at 17 Valley Rd. The buildings are of mixed age and construction, and offer 934.8sq m of lettable floor area. The Dominion Bar and Grill occupies the two-level corner building, which has cantilevered brick parapet walls and chimneys, plus a single-level building fronting Valley Rd.
"This property has one of Mt Eden's most popular local watering holes with The Dominion Bar and Grill, as anchor tenant," says Mike Adams of Bayleys Viaduct Harbour, who is selling the buildings with colleague Quinn Ngo.
"This is a truly rare opportunity to secure a sizeable property in a prime city-fringe location," Adams says.
"Dominion Breweries identified this corner position as the optimal site for a hospitality operation to target the captive Rugby World Cup fan base before and after games at nearby Eden Park.
"Such is their confidence in the site and the bar's potential to draw patrons attending rugby, league, cricket and soccer fixtures that they have secured a robust lease with a final expiry in 2027.
"Immediately prior to DB establishing and rebranding the buildings as The Dominion, this corner was home to well-known restaurateur Dominique Parat's GPK operation, so it is a proven hospitality site," Adams says.
Six other tenants in the buildings include long-standing New Zealand manufacturer Cambridge Clothing, which operates a menswear factory outlet from 224 Dominion Rd, and James Law Realty trading from 226 Dominion Rd.
The Eden Quarter shopping complex with Countdown supermarket, restaurants, cafe, banks and other retailers is adjacent to the property.
The combined tenancies in the fully leased property generate a rental return of $208,445 per annum. There are 10 on-site tenant carparks to the rear of the buildings accessed off Dominion Rd, and public parking is available on surrounding streets and in the Auckland Council parking lot to the rear of the ANZ Bank across the road.
Adams says the property lends itself to possible reconfiguration to optimise the available space and enhance the strong income streams. Rectangular in shape, it has a road frontage of about 37m to Dominion Rd and about 29m to Valley Rd.
"An initial evaluation procedure has been completed on the building to assess its seismic integrity and this report is available to interested parties upon request," says Adams.
"This city-fringe area, like all inner-city suburbs, has prospered over recent years, boosted by the evolving residential activity in close vicinity. However, there have been low levels of new quality commercial developments in the Mt Eden area to satisfy the strong demand by prospective tenants.
"Due to the limited supply of development sites in the area, existing quality commercial buildings attract spirited attention when they do come to the market."
Dominion Rd is one of Auckland's longest straight arterial routes feeding traffic from the busy suburb of Mt Roskill, and surrounding residential precincts, through the suburb of Mt Eden and into the CBD.