Johnston says it is a chance to acquire a superbly located, split-risk industrial investment with outstanding tenants and potential for future uplift.
"The warehouse areas have quality modern construction, with full-height concrete walls and high studs. With the shortest lease expiring in 2021, this is a chance to add value through re-positioning the property to attract higher rent returns from a new tenant."
The property houses a substantial industrial facility that has been split into two tenancies.
"It has yards at the front of both warehouses, while the northern warehouse has its own secure yard," says Goldfinch.
"The office accommodation is split over two levels at the front of the site."
Patton has 707sq m of office space, a 2780sq m warehouse, a 16sq m warehouse office, and a 320sq m canopy.
"The ground floor office area comprises a showroom, amenities and a mixture of open plan and partitioned office space," Goldfinch says.
"An internal staircase leads to the first floor which has a reception area, further amenities and partitioned offices."
The warehouse is of clear span construction with a stud height ranging from 9.7m to 11.1m. Access is via two roller doors, one to the north and the second to the western front wall.
Patton Ltd is signed to a seven-year lease earning $490,505 plus GST in net annual rent. Two-yearly rent increases are linked to the Consumer Price Index. The lease expires in March 2021, with no rights of renewal.
Established in 1923, Patton is a manufacturer and wholesaler of refrigeration, air conditioning and mechanical services products.
The second tenancy, occupied by Stowers Containment Solutions, comprises 347sq m of office space, a 1437sq m warehouse, a 103sq m warehouse office, and a 105sq m canopy.
The ground floor office area is of a similar layout to the first tenancy, with a showroom and partitioned offices.
An internal staircase leads to further office space and a kitchenette.
The warehouse is of clear span construction with access via two roller doors located on the western front wall. The stud height ranges from 11.4m to 12.3m.
Stowers' lease is held by Pact Group Holdings (NZ) Limited, a subsidiary of The Pact Group, which acquired the company in 2016.
It is signed to a 10-year lease earning in $236,493 plus GST in net annual rent. Rent reviews are fixed every two years at 2 per cent, compounded annually, with market reviews on renewal.
The lease expires in September 2022, with two rights of renewal of six years each, extending the final expiry date to August 2034.
Established in 1972, Stowers is an importer, distributor and supplier of plastics, specialising in innovative containment solutions for industrial and commercial organisations.
