Papamoa's Fashion Island retail hub is up for sale. Built in 2006, Fashion Island contains 20 tenancies and forms part of a larger retail hub in the fast-growing Tauranga coastal suburb. Nearby occupiers include Mitre 10 Mega, Pak 'n Save, The Warehouse, KFC and Countdown.
The 8,790 sqm site provides3,315 sqm of net lettable area. Current tenants include Amazon, Max, Bendon Outlet, Just Jeans, Portmans, Dotti, Pumpkin Patch and JacquiE, generating total net annual income of $316,695, says Colliers International, which is handling the sale.
Simon Clark, Colliers Tauranga managing director, said the site had a fully leased potential market income of more than $800,000.
Fashion Island could also be repositioned, he said.
"This could include broadening the range of occupiers away from fashion and into a convenience, showroom, office or mixed use offering.
The surrounding area has become increasingly affluent and has transitioned from being a predominantly holiday location towards having a full time residential population.
Colliers said Papamoa had experienced 800 per cent growth in population since 1981, which had driven significant growth in retail demand and facilities in the town.
Jason Seymour, Colliers' director of capital markets said Fashion Island was ideally positioned to benefit from strong population and economic growth in the local catchment.
"We are expecting strong interest from buyers who are looking for the opportunity to secure well-located retail properties with future upside potential," he said.
The sale will be by private treaty, with a closing deadline of 4pm, December 4.
