Fully-strengthened, fully-tenanted Art Deco post office looking for new owner

FOR SALE. Napier's former Art Deco Post Office. PHOTO / SUPPLIED

Just two weeks before the start of Napier's annual Art Deco festival, one of the city's most historic period buildings is up for sale.

Napier's former Central Post Office on the corner of Dickens and Hastings streets has been listed for sale by Bayleys Napier.

The 1929-built building is owned by Paraparaumu-based company Waste of Space Aviation.

Although it survived the destructive 1931 earthquake, the heritage-listed Art Deco building was deemed earthquake prone in 2011. Its then anchor tenants, NZ Post and Kiwibank, moved out to allow for the strengthening upgrade work to be undertaken.

Following an extensive three year strengthening, refurbishing and remodelling programme completed early in 2014, the building has been steadily re-tenanted over the ensuing years.

Now the three storey premises are occupied by some 12 different businesses.

Combined, the 12 tenancies within the building generate an annual rental revenue of $558,362 plus GST.

Bayleys salesman Sam MacDonald said businesses within the building were on a range of varied lease terms stretching out as far as six years, and with multiple rights of renewal terms.

"The 3185 square metre building sits on some 1554 square metres of freehold land adjacent to Napier City Council's Upper Dickens St car park. The building is zoned inner city commercial – Art Deco quarter, and has a new building standard [NBS] rating of 100 per cent.

"The ramifications of the Canterbury earthquakes in 2010/2011, in terms of older style buildings having to be strengthened to meet new building standards, has actually been a bonus for the former Napier Central Post Office.

"If it hadn't been for the new building standard requirements, the historic Napier Central Post Office building could well have remained in a somewhat dated state.

"The resulting new floor plate, has opened up space for a greater number of tenants utilising the existing space far more efficiently – all of this while retaining the high ceilings, central entrance foyer, dual-story floor to ceiling windows, and stone facade reflective of the city's Art Deco precinct.

"With multiple tenancies across a spread of economic and retail sectors, the occupancy portfolio within 1 Dickens St offers a spread-risk investment profile for any new investor owner."

Mr MacDonald said that over the past four years, Napier's central business district had undergone significant redevelopment to underpin both its commercial and retail appeal.

"Major building upgrades around the old Napier Central Post Office include both the new Farmers and Kathmandu stores, the Paxie's Lane development which connects Marine Parade with Hastings St, and the just-completed 202 Hastings St – the new home of Macpac."