Two smaller investment properties in central Auckland are being marketed as an opportunity for residential investors to enter the commercial property market at an affordable level, at a time when interest rates are at historically low levels.
A Hell Pizza outlet in a multi-storeyed complex at 160 Symonds St and
an office unit in the Old South British Building, on the corner of Shortland and High Sts, are both leased and producing annual rental incomes of $48,160 and $45,800 respectively.
The properties are being marketed by Scott Kirk and James Were of Bayleys Auckland. Kirk says it is unusual to get two offerings like these up for sale at the same time in the city, especially when CBD investment property is usually out of the reach of smaller investors.
He says the Hell Pizza outlet is understood to be a strong franchise and has operated out of the location for the past six years. Its current lease expires in 2013, with a right of renewal until 2018. The lease has two-yearly rent reviews.
"This is a very affordable investment property with a well-known and respected national brand retailer," says Kirk.
"It is located in a modern, multi-storeyed complex with retail at ground level and covered parking at the rear and is part of a wider mixed-use precinct at the top of Symonds St that has undergone a revitalisation in recent years and is home to some top eateries and trendy bars."
The Hell Pizza outlet comprises 97sq m and will be sold with four carparks. It will go up for auction on October 21 as part of Bayleys latest Greater Auckland portfolio.
The office unit in Shortland St is occupied by The Research Agency and its lease is guaranteed by Colmar Brunton Australia. The Research Agency has been in the unit for three years and its existing lease runs until April 2010, with a further right of renewal until 2013.
Were says the freehold penthouse suite was substantially renovated in 2004 and features 120sq m of immaculate, modern office space and a massive 260sq m deck.
The suite incorporates a large reception area, open-plan office, modern bathroom with shower and various quality fixtures and fittings, including a fully integrated surround-sound system. There is also a kitchen that opens north on to the expansive deck area. The property also comes with a small 8sq m storage unit.
The penthouse office suite is for sale by deadline private treaty, with offers closing on October 21. It is on level nine of the Old South British Building, which was constructed in the early 1930s and has been strata titled for some time. The building's common area has also been recently upgraded.
"This work included the main entrance foyer, which now provides an attractive entry to the building with marble wall linings in keeping with the original 1930s style," says Were. "The lifts have also been upgraded."
Were says the penthouse suite is currently used as offices, but would also make an attractive inner-city apartment or live-and-work property. It had been used as a residence for the building's caretaker for some years before being strata titled and refurbished for commercial use.
"It is in a beautiful character building, and it may be possible to use the deck space to develop the unit further."
Hell Pizza has operated out of the modern multi-storeyed complex at 160 Symonds St for six years. Photo / Supplied
Two smaller investment properties in central Auckland are being marketed as an opportunity for residential investors to enter the commercial property market at an affordable level, at a time when interest rates are at historically low levels.
A Hell Pizza outlet in a multi-storeyed complex at 160 Symonds St and
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