Albany units offered up in popular park

Three office units at the popular Apollo Technical Park are for sale.

Investors are being offered annual income returns in excess of 8 per cent with the sale, as fully leased commercial investment properties, of three of the last available office units in the popular 58-unit Apollo Technical Park in Albany.

The units at 59 Apollo Drive were developed by Northbridge Properties which has divested itself of much of the office park. The three that are now for sale as part of Bayleys' Total Property portfolio are located in a modern, two-storey office building.

They have asking prices of $659,000 to $1.65 million and are for sale individually or as a combined portfolio through Caleb Belling and Damian Stephen, Bayleys North Shore Commercial.

Belling says the Apollo Technical office park has proved popular with corporate tenants and there is little vacant space left in the area.

The tenants in the units include software solutions company Flintfox International, international pharmaceuticals firm Novartis New Zealand, corporate growth analysts Frost & Sullivan, and New Zealand clothing manufacturer Jet Design Studio. Stephen says the three units for sale have various lease terms, with rights of renewal

The highest priced unit for sale, which comprises 523sq m of office space, is occupied by two international tenants.

Frost & Sullivan, which was established 50 years ago and has 40 offices on six continents, occupies 202sq m on a four-year lease from 2011 with a three-year right of renewal. It shares the unit with Novartis New Zealand which has 321sq m with a lease expiring in 2017.

The asking price for this two-tenanted unit plus 14 car parks is $1.65 million, which Stephen says will provide the tenant with an income yield of 9.1 per cent.

Flintfox, which has been developing business software for 25 years, occupies a 527sq m office unit with a four-year lease from January plus one four-year right of renewal. The asking price for the unit, which also comes with 14 car parks, is $1.45 million, reflecting a yield of 8.3 per cent.

Jet Design Studio occupies 244sq m of office and storage space and has exercised a three-year right of renewal on its lease.

The price for this office unit, which has three car parks, is $659,000, equating to an income return of 8.9 per cent.

Belling says the calibre of the tenants reflects the quality of the Apollo Technical office park and its location near cafes and shops and close to all motorway connections.

"This particular location has been very sought after on the North Shore and has attracted large corporate tenants such as Carter Holt Harvey, Proctor & Gamble, Samsung and Bosch among others," he said.

"There is very little vacant space in this specific locality and the three office units on offer will provide very attractive income yields in the current low bank interest rate climate."