Popular retail centre offers room for further development
The Hub commercial and retail centre is a popular stopping place for tourists as well as residents.
The biggest shopping area in the Northland seaside town of Mangawhai, featuring a combination of commercial and retail tenants, is for sale.
"The sale of the Hub represents an investment opportunity that offers the buyer a strong tenant base from multiple income streams," says Duncan Napier of Bayleys Warkworth who, with colleague Steve Orr, is marketing it for sale by tender closing on July 23.
The two-storey building at 6 Molesworth Drive is in the retail centre of Mangawhai, which serves as a gateway to the popular beach resorts of Mangawhai Heads, Langs Beach and Waipu Cove.
Napier says the modern, purpose-built centre has a capital valuation of $1.7 million and generates an annual net income of $228,000 from 14 commercial and retail spaces.
"A new owner will take over an established property portfolio with exciting growth options and filled with tenants who provide a wide range of services to locals and holidaymakers to the area."
The Hub situated, on a prominent corner site on the main road is 5km south of Mangawhai Heads and an 80-minute drive from Auckland.
The 4824sq m property is being offered as two packages that can be sold separately or together.
Lot 1, of 3019sq m, takes in the existing building with car parking and lot 2, of 1807sq m, is land at the rear of the building. Annual rates for the Hub are $11,477.
Zoned Business Commercial, the Hub building was constructed in 2006 with eight tenancies and consent for future development. Because of tenant demand, stage two of the building went up in 2008, providing a further six tenancies.
Tenancies include: Kaipara District Council, Strong Chartered Accountants, Mangawhai Self Storage, Coastal Fitness, First National Real Estate, Professionals Real Estate, GJ Gardner Homes, Tau Lin Chinese Restaurant and Takeaways, the Frog and Kiwi Restaurant, Traverse Developments and SwitchGear.
"The property offers a future development opportunity in a central, prominent location, and is being offered for sale with or without lot 2, depending on whether potential buyers want to consider further development of this site," Orr says.
"There is room for rental growth by reconfiguring the existing tenant layout to maximise the lettable area.
"There is also significant scope for future expansion of the existing building into additional tenancies or redeveloping the vacant land."
He says the Hub shops and businesses provide a range of commercial needs for locals and visitors. By comparison, commercial development at nearby Mangawhai Heads is limited to meeting the day-to-day needs of permanent residents.
"Mangawhai has a growth rate four times the national average, with one and a half new houses being built each week, according to Census statistics," Orr says.
"This in turn is creating an increasing demand for goods and services within the region.
"In the long term this is a significant site with redevelopment potential within Mangawhai's established retail area, which continues to prove a popular destination for locals and visitors to the region."
Mangawhai is popular because of its natural beauty and proximity to Auckland.
What's on offer?
The property: The Hub shopping centre.
Location: 6 Molesworth Drive, Mangawhai.
Sale: Tenders close July 23.
Agency: Bayleys Warkworth.
• 14 commercial and retail spaces
• About $228,000 annual net income
• Capital valuation of $1.7 million
• Prominent corner site
• Redevelopment potential.