Thirteen properties comprising a portfolio of Manukau and Counties commercial and industrial offerings will go under the hammer in Bayleys Manukau auction rooms later this month.
The "twilight" auction will be held at 5.30pm in Bayleys East Tamaki auction rooms in Allens Rd on June 29. Bayleys Manukau's sales manager Dave Stanley said it was one of the biggest portfolio auctions to be held in the company's East Tamaki auction rooms.
Two fully tenanted investment properties are included in the June 29 auction, with the balance of the offerings predominantly vacant buildings and redevelopment sites up for mortgagee sale.
"A number of owners who have been struggling to lease their buildings have decided to expose them to the competitive sales market through the auction system," said Stanley. "Given the pick-up in inquiry from both owner-occupiers and investors in vacant buildings, they have the opportunity of getting a result."
Stanley said an example of the strong interest in well located vacant buildings was the sale last month of a 599sq m 25-year-old warehouse and office unit at 9 Smales Rd in East Tamaki. Marketed by John and Ash Bolton, it attracted spirited building at auction before selling for $770,000 plus GST to an investor taking a punt on leasing up the building.
Vacant buildings for sale at the auction include:
Two new 101sq m industrial units in Lambie Drive in Manukau.
A 321sq m workshop building with potential to be split into separate tenancies and a large security fenced yard at 269 Great South Rd, Manurewa.
A 95sq m suburban convenience retail centre at 235 Browns Rd, Manurewa.
A 182sq m warehouse unit in Dent Place, Papakura.
Two 144sq m two-level units in the Kudos Business Centre at Airport Oaks.
Two Otahuhu properties are included in the auction. One is a 553sq m standalone building at 3 Hokonui Rd, comprising three units. The two front units of 247sq m and 170sq m are tenanted and producing annual net rental income of $30,000, while the rear 136sq m unit is vacant.
Peta Laery of Bayleys Manukau said the property was in a good location just off Great South Rd and was suitable for an investor looking for a solid industrial building with split risk and the potential to increase its income by a further $15,000 by leasing up the vacant space.
"Alternatively, an owner occupier could utilise the rear space and enjoy the income from the two larger units."
The other Otahuhu property is a 182sq m showroom at 469 Great South Rd next to the intersection with Atkinson Ave. Brice Clark, who is also marketing this property, said it had great exposure on a busy retail strip with parking at the front of the unit.
One of the investment properties for auction is a 701sq m office, showroom and high-stud warehouse with two roller doors, located on a prime corner site at the junction of Ti Rakau Drive and Harris Rd in East Tamaki. Marketed by John and Ash Bolton, Unit D at 166 Harris Rd is producing net annual rental income of $97,500. The tenant has been there since 1996 and has renewed the lease for a further three years in February 2008.
John Bolton said the unit was located on one of the busiest intersections in East Tamaki with up to 40,000 vehicles passing by each day.
In Alexander Cres, Otara, a commercial unit on two titles and with two tenants is producing net annual rental income of $38,439.
Marketed by Ash Bolton and Tony Chaudhary, it is occupied by a government subsidised health clinic and kitchen maker.
Two significant sites, one with redevelopment potential in Great South Rd, Manurewa, and currently housing car yards, are both up for mortgagee auction. Located at 280 and 300 Great South Rd, they encompass 911sq m and 1012sq m of land respectively, both with a Business 5 zoning.
Chaudhary, of Bayleys Manukau, who is marketing the properties with Shane Snijder of Bayleys Counties, said both sites had easy motorway access. A third former car yard site at 65 East Tamaki Rd in Papatoetoe, also up for mortgagee sale, has been sold prior to auction by Chaudhary and James Bayley.