Caldwell says the Jolly Punter is a popular neighbourhood bar that has operated from the building since 1995 and has recently exercised the second two-year right of renewal on its ground floor lease.
Jolly Punter also leases the residential flat and small office on the upper floor. Caldwell says residential rents have increased significantly in Belmont as a result of a big lift in house prices and there could be an opportunity for a new owner to increase the income from this part of the property which is under rented.
"Mixed Use properties on the North Shore and especially in the Takapuna, Belmont, Devonport precincts are popular with a pool of prospective tenants for both retail and residential space," says Caldwell. "Retail properties along Lake Rd are particularly sought after and are very tightly held because it's the main road into Devonport from all parts of Auckland. The high volume of traffic carried provides huge exposure for the occupants of a limited number of retail properties located along the road. We believe a new owner wouldn't have much difficulty finding a replacement tenant if the present occupant decided not to exercise further rights of renewal."
Caldwell says Belmont and neighbouring Bayswater are becoming increasingly affluent suburbs with house sales over $1 million now not uncommon and boding well for the future of retail in the area.
Aldridge says the Jolly Punter premises' gaming licence is of considerable commercial value given that these are now becoming increasingly difficult to obtain. There could also be potential to significantly increase the commercial value of the property in the medium term through further development.
"The lease has a 12-month demolition clause in it which provides a new owner with the opportunity to explore the possible further development of the site, probably in conjunction with the adjoining owners," Caldwell says.
Aldridge said the property's development potential would be enhanced by its proposed Local Centre zoning under the notified Auckland Unitary Plan which allows for commercial activity servicing local convenience needs with residential living opportunities on upper levels.
The zoning provides for buildings up to four storeys high.
"In the short term, this is an affordable retail investment with a well established tenant in a high profile position on a busy main arterial road," says Caldwell.
What's on offer?
The property: Two level retail character building.
Location: 148 Lake Rd, Belmont, North Shore.
Agency: Bayleys North Shore Commercial.
Sales method: Auction Wednesday March 4.
Features:
• Leased to Jolly Punter Sports Bar.
• Affordable retail investment property.
• Huge exposure on busy main road.
• Local Centre zoning under Auckland Unitary Plan.
• Potential for four storey future development.
