A medium-sized, modern distribution company seeking greater warehousing capacity would be the ideal tenant in a new 'spec' build for lease in Auckland's industrial and distribution hub of Mt Wellington.
A 1930sq m office/warehouse, on a self-contained secure site at 22-24 Bell Ave, Mt Wellington, is being marketed for lease by Colliers International's Industrial sales and leasing associate directors Ben Herlihy and Todd Kuzmich.
"This is one of two new spec builds in a duplex that has been specifically designed for a modern distribution company in the premier industrial suburb of Mt Wellington - which, when combined with Penrose, accounts for eight per cent of New Zealand's Gross Domestic Product (GDP)," Herlihy says.
Developed by Waytemore Investments on a brownfields industrial site once home to the Shortland Cannery, the duplex is set to be completed late-July, Herlihy says. "The Bell Ave duplex's key point of difference to much of the existing stock is its low office-to-warehouse ratio. Demand in industrial has changed in recent years, with users wanting smaller office footprints - making offerings like this extremely sought-after."
The property comprises 230sq m of open-plan corporate grade office with breakout rooms, a 1700sq m clear-span tilt slab warehouse with a 10m stud height, and 19 carparks.
"Other key features from a distribution perspective include a fully secure concrete yard with one-way drive-through access, a large canopy for de-vanning containers and generous container set down areas, and the property's location - off a light controlled cul-de-sac off Great South Rd, which provides safer vehicle access.
Established New Zealand business, The Neat Meat Company - which supplies meats to top-end restaurants - has committed to a 10-year lease on the second warehouse in the duplex, Herlihy says.
Neat Meat Founder and Managing Director Simon Erikson is looking forward to the duplex's completion.
"We were drawn to Bell Ave after a long search for a new property.
"Neat Meat required an efficient warehouse with a low office footprint that was both close to our customer base and kept our costs down.
"This site will streamline our operations and help take our business to the next level."
Many corporates base their New Zealand operations in Mt Wellington as their distribution base such as Rexel and Johnson & Johnson, Herlihy says.
"A key benefit to Mt Wellington as a business location is its centrality - both to the CBD and the wider industrial market."
"In addition, with commuting times increasing, many businesses want to avoid relocating too far south or west so that they remain attractive to employees."
Once the home of mostly older, low-stud facilities originally constructed in the 1960s and 1970s for manufacturing, Mt Wellington has seen a lot of redevelopment in recent years, Kuzmich says.
"Older buildings being demolished and modern, efficient facilities such as this are being constructed in their place thanks to vacant land being almost totally unavailable, and we are seeing a rejuvenation in the area as a whole as a result."
The neighbouring area is undergoing significant redevelopment with a large design building for Ideal Electrical being completed earlier in the year on the former Hellaby Freezing Works at 829 Great South Rd, Mt Wellington.
Two further new builds on adjacent sites are planned for 2016. In addition Waytemore Investments still have land to develop a further 3500sq m facility which is likely to come out of the ground is 2017.
"Vacancy rates at an all-time low in the Mt Wellington area, which is leading to rental increases - making new builds an attractive proposition for lessees due to the efficiencies gained in areas such as cubic capacity in the warehouse, lower offices footprint and reduced operating expenses.."
The Mt Wellington area is also tipped to improve further following the Government's recent announcement of its intention to streamline the consent process for the $1.85 billion East-West Connection roading project, which will provide a seamless link between the southwestern motorway (SH20) and the north-south (SH1) motorway.
"This project aims to address congestion and improve travel times and reliability of journeys between business in the industrial areas of Onehunga-Penrose and Mt Wellington and the two motorways," Kuzmich says.