A major commercial property in Kaitaia bringing in about $140,000 a year in rent is coming up for auction this month.
The Dunn St site includes a warehouse, showroom and office building tenanted by building supplies company Carters.
It covers 4155sq m over three adjacent titles with 1227.5sq m offloor space. It is zoned industrial and lends itself to future expansion because the full-site coverage provisions allowed for in the Far North District Council's district plan have not been utilised.
The lease brings in $138,304.94 plus GST a year.
It is owned by a Tauranga-based investor but is due to go under the hammer on April 10 at Bayleys' headquarters in Auckland's Viaduct Harbour.
Alan Broadbent, of Bayleys Kerikeri, said the property had potential for future development and increased rental revenue, either through accommodating expansion of the existing Carter operations or a future tenant who required extra facilities on site.
"Investors with capacity for long-term thinking will recognise the value that a Far North property offers in terms of what you get for your money."
The property comprises a road-front showroom with offices and amenities behind it and a 473sq m warehouse. It also has mezzanine storage, dry good storage and a secured 1758sq m yard with about 40 car parks for customers and staff.
Carter Holt Harvey has a lease with an initial nine-year term from August 2007 and two rights of renewal of six years each. The base rent is $132,550.70 plus GST a year with a separate "improvements rental" of $5754.24 plus GST to cover concreting of the yard in December 2011. The extra rental remains in place until the end of the current lease term in 2016, when a new rent will be negotiated.
