A vacant office unit in Albany, on Auckland's North Shore, will go under the hammer at Bayleys' next Total Property auction, with a declared reserve of $320,000, which is more than $200,000 below its latest Capital Valuation.
The modern 164.7sq m office suite, at 6-8 Omega St, is being marketed by Stephen Scott, of Bayleys Auckland, and Brian Caldwell, of Bayleys North Shore Commercial, and will be auctioned in Bayleys' Maritime Square auction rooms in central Auckland on August 7.
"It is not the norm to have a declared reserve, especially one as low as this, however the vendor's motivation is to get a result quickly," Scott says. "They are hoping that tenants wanting to become owner occupiers in the area will see this as a great opportunity to get into the market at an attractive price and stop paying rent.
"Alternatively, it could also appeal to a savvy investor who is getting left behind in the current strong residential market and is looking for an affordable entry into commercial investment property. The reserve is well below what it would cost to buy a good-quality residential investment property or an apartment of this size on the North Shore and the income return that it will offer leased up is likely to be much higher."
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Scott says the rental expectation for the property has been assessed at around $37,000 based on a rental calculation of $200 a metre, which would be a typical market rental for a well-located office suite of this quality in Albany, plus car parking.
The unit has a July 2011 Capital Valuation of $530,000, with rates for the 2012/2013 year of $3866.82 plus GST and body corporate fees set at $3575.33 plus GST for 2013/2014.
Scott says the unit is on the ground floor of an attractive, architecturally designed, low maintenance building that was completed in 2006 and provides modern, good-quality, air-conditioned office accommodation. It comes with three car parks in front of the unit and shared use of 29 additional parks and has disability access. It is one of 10 office units in the building and has an open plan working area, two separate fitted-out offices and a spacious staff meeting room and kitchen.
The building has reinforced concrete foundations and flooring, concrete tilt slab walls, galvanised power-coated steel framing and long run steel roofing, with security alarm and fire protection services. It is on a triangular-shaped road front site on the northern side of Omega St which runs off William Pickering Drive and connects with Paul Mathews Rd, within the popular North Harbour Industrial Estate. Surrounding properties include a range of mainly office and office/warehouse buildings and the Albany Mega Centre is within two kilometres to the northeast.
Caldwell says the location provides convenient motorway access, to the west, north and south. Takapuna's commercial centre is within a 10-minute drive.