Four A-grade, seismically-compliant and fully-leased retail units on Wellington's golden mile have been placed on the market by Auckland-based owners.
The individually unit-titled stratum in leasehold units on Willis St, are part of the award-winning mixed-use Chews Lane development completed by Wellington developer Willis Bond & Co.
The retail premises are home to established tenants Pagani Fashions, House of Travel's Adventure Travel brand, Ecco Shoes and optometrists, Bailey Nelson.
The four properties are managed by Trust Management on behalf of an Auckland based investment trust. With new leases in place on all four units, it was deemed an appropriate time for the trust to sell and adjust its commercial property interests.
The Chews Lane precinct was designed by Athfield Architects and was awarded the New Zealand Property Council Supreme Award in 2009 with the project comprising Willis St retail units, Chews Lane retail/hospitality, commercial offices and carparks – along with residential apartments straddled across the commercial accommodation.
The retail units for tender lie to the northern end of Chews Lane and provide modern retail premises at 37, 39 and 41 Willis St, along with 29 Willis St which features a repurposed original facade with an integrated modern frontage.
Mark Sherlock and Jim Wana of Bayleys Wellington are marketing the four units which will be sold by tender – either individually or in combination – closing 4pm Wednesday, June 26.
"In today's CBD commercial property climate it's not often that buyers get the opportunity to buy just the retail component of a development", explains Sherlock.
"It's rare to find assets of this quality, in such a prime location and in an accessible price bracket."
Sherlock says the "halo effect" of perennial favourite Lambton Quay, has seen a consolidation of high-profile retailing along neighbouring Willis St and recent and ongoing development in the area adds weight to the value of the retail units on offer.
"Willis Street is seen as a natural extension to Lambton Quay with businesses leveraging off the pedestrian counts and enduring appeal of the city's flagship business strip," says Sherlock.
"There are limited retail vacancies in Willis Street and with high-profile fashion brands Dangerfield, Gorman and Decjuba recently signing long-term leases on the Chews Lane side of Willis Street, there's real confidence being shown in the precinct.
"Argosy Property's redevelopment of the well-known Stewart Dawson's Corner is well-advanced with a leading retailer understood to have committed to the site; while number 8 Willis Street and 18 Willis Street are also being redeveloped.
"Add in the Press Hall eateries complex which was completed last year – and the underlying locational fundamentals of these retail units is strong."
At 261.5sq m, the Pagani Fashions tenancy is the largest of the four units and at 78sq m the smallest is that of Adventure Travel.
The strong net leases across the individual properties range from $103, 093 to $203,630.
"These retail units will represent good buying for those investors looking for bottom drawer properties for a long-term hold," says Sherlock.