Bite-sized Mount Roskill industrial

The 549sq m freehold property at 4 Roma Rd is identified by a blue border. Photo / Supplied

A bite-sized industrial unit for sale in tightly held Mount Roskill offers entry-level investors a chance to invest in one of Auckland's most sought-after industrial hubs.

Colliers International is marketining 44 Roma Rd for sale by deadline private treaty closing at 4pm on July 19, unless sold earlier.

Broker Gawan Bakshi is marketing the property with colleagues Ned Gow and Hamish West.

He says the 549sq m freehold property is an ideal investment for family trusts, mum and dad investors, and residential investors looking to establish a foothold in the coveted industrial property sector.

"Industrial continues to outperform the other key commercial property sectors due to strong demand and low vacancy, which is helping to keep yields at near-record lows," he says

"The problem for entry-level investors is that there simply isn't a lot of investment stock available at lower price points — particularly in sought-after industrial precincts like Mount Roskill.

"The property is ideally located within a tidy business complex that offers excellent access to the Southwestern Motorway and the Waterview Tunnel.

"It is fully leased to three tenants, providing multiple income streams and scope for rental upside.

"With a real shortage of entry-level industrial properties on the market, we're expecting very strong interest in this split-risk investment opportunity."

Built in the 1980s, the property comprises a 320sq m warehouse, 229sq m of office over two levels, and 10 car parks.

Gow says the warehouse has roller door access, three-phase power supply, and a medium to high stud height.

"Tenanted by a hospitality company, the warehouse earns $43,000 in annual rent. Two years and nine months remain on the current lease term, with two rights of renewal of three years each."

Gow says 103sq m of office space is leased to a small advisory business, generating $15,000 in annual rent.

"Three months remain on the current lease, with five rights of renewal of two years each."

The remaining 126sq m of office space is on a month-by-month lease earning $19,000 in annual rent.

"This offers scope for a new owner to re-lease the office space, potentially on a longer lease term or with rental uplift," Gow says.

West says the property is superbly located about 20 minutes' drive from the CBD, Ports of Auckland, and Auckland International Airport.

"The Waterview Tunnel has been a real game-changer for the industrial hub of Mount Roskill, he says.

"Vastly improved accessibility has led to an uptick in demand for commercial and industrial space, which means there is almost no vacancy year-round."

West says the property for sale is roughly midway between the motorway interchanges on Maioro St and Dominion Rd, giving it excellent accessibility to the wider Auckland region.

"Established commercial brands including Foodstuffs, Gilmours, The Warehouse and McDonald's occupy properties close by."

Bakshi says Foodstuffs is due to move to new premises at The Landing Business Park, at Auckland International Airport, in 2021.

"Due to this we are anticipating gentrification and uplift in the Mount Roskill area in the medium to long term.