Many good things come in pairs

The twin-tower building dominates the Quay St area.

A twin-tower building leased by several international companies in Auckland's Quay Park waterfront commercial area is for sale.

NZInvest House, at 32-34 Mahuhu Cres, comprises two adjoining seven-level and six-level buildings and is featured in Colliers International's New Zealand Portfolio magazine to be launched this weekend.

"The complex has an impressive tenant profile with several major global firms in occupation offering premium covenants," says Colliers' national director, Peter Herdson, who, with colleagues Andrew Reed and John Green, is marketing the two buildings for sale by international private treaty closing at 4pm on October 2.

Both buildings, totalling 7288sq m of lettable space, were completed in 2002 on a 2640sq m, 150-year leasehold site.

Key tenants include Rayonier NZ, CMA CGM & ANL Agencies (NZ) and NZInvest.

Among the other tenants are HiFX, owned by Nasdaq-listed Euronet; Nokia Solutions and Networks Ltd; Ngati Whatua Orakei is the ground lessor.

Herdson says that the twin towers are connected in a landscaped setting that is the hallmark of the area.

The buildings share a common basement containing 69 car parks and a central core with three lifts and two sets of stairwells.

The major tenant, Rayonier, is a leading international forest products company and joint owner of New Zealand's third-largest forest estate.

With shares traded on the New York Stock Exchange, the company has offices on three continents and more than 1800 employees.

Rayonier occupies 17 per cent of the property on a 13-year lease that began in June 2010.

CMA CGM & ANL Agencies is one of the world's largest container shipping companies and holds the signage rights to 34 Mahuhu Cres and has a lease for 14 per cent of the office area.

NZInvest, a full service property investment business, occupies 12 per cent of the office area and has the naming rights to the building and signage rights to 32 Mahuhu Cres.

Reed says the property provides an overall weighted average lease term of 3.8 years and net passing income of $1.6 million a year.

"It also offers fixed rental growth and market rental growth which will be a major attraction to investors."

Green says the buildings have an excellent profile with wide exposure to Quay St and occupy a prominent position within a fast-growing and developing city commercial location dominated by well-known brands that include Aecom, GE and BNZ.

"This is a great opportunity to buy an outstanding property adjacent to the Vector Arena in Auckland's emerging waterfront commercial office precinct," Green says.

"Positioned just to the east of the city's retail centre, the Quay Park precinct is a relatively new business district that has sprung up over the past 15 years between Britomart and the Vector Arena.

"Within walking distance of the CBD and near the Britomart transport and commercial centre with its numerous cafes, bars, shops and restaurants, it is an attractive waterfront location for current and prospective tenants."

The property sale follows Ngati Whatua Orakei Whai Rawa's purchase of Aecom House, a new office building at 8 Mahuhu Cres, for close to $70 million.

Reed says quality Auckland office buildings are being acquired by a range of New Zealand and overseas investors and that "strong economic forecasts indicate Auckland is the market to be investing in for future growth".