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Home / Property

Retail space in busy Barry's Point Rd

By True Commercial
NZ Herald·
2 Feb, 2018 04:00 PM4 mins to read

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The building at 55 Barrys Point Rd houses a kitchen design business and a motorcycle retailer. Photo / Supplied

The building at 55 Barrys Point Rd houses a kitchen design business and a motorcycle retailer. Photo / Supplied

A fully-leased commercial building, with future development potential due to the property's Mixed Use zoning, is for sale on Barrys Point Rd on the North Shore.

Featured in Bayleys' just released first Total Property portfolio for the year, the about 1549sq m building at 55 Barrys Point Rd is on a high profile 1575sq m corner site hallway along the busy arterial road.

Generating net annual rent of $285,630, it is being marketed by James Kidd and Matt Mimmack of Bayleys North Shore Commercial. It is up for tender closing Thursday, March 8 unless sold prior to that date.

Kidd says the property is occupied by seven tenants providing an investor with an excellent spread of risk across a diversified income stream.

"It comprises a 1970s concrete block and iron building which was originally divided into three self-contained warehouse/workshop tenancies at a time when Barrys Point Rd was predominantly an industrial area. With its shift to more of a retail and commercial precinct, the premises have been refurbished to allow for a good mix of showroom and offices with small storage and car parking areas."

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Two showroom tenancies have frontage to Barrys Point Rd and are occupied by a kitchen design business and motorcycle retailer. A concreted area at the front of the site provides car parking for both units with storage space behind the showrooms.

The middle part of the complex has been divided into four separate office tenancies spanning two floors. Two larger tenancies both contain their own separate bathrooms while the smaller two make use of a shared facility. Car parks for these offices are at the side and back of the property.

Kidd says the rear of the property is a mixture of well-presented office space with kitchen and bathroom facilities over two levels and ground floor storage, now used for additional parking.

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Mimmack says the property offers a considerable opportunity to add value under its new Auckland Unitary Plan A Mixed Use zoning allows for the continued transformation of Barrys Point Rd to a retail/commercial area with the added inclusion of residential. Intensive commercial and/or residential development is permitted up to 18m or about four storeys.

"Subject to obtaining the necessary resource consents, additional floors could be built on top of the existing well-established commercial base," Mimmack says.

It could also be kept as a long-term hold, with a view at some stage, to starting from scratch and developing an entirely new, predominantly residential building, perhaps with some retail on the Barrys Point Rd frontage.

"The beauty of this site from a residential development point of view is that is a substantial piece of land in a corner location. This means apartments would benefit from plenty of natural light and an unobstructed outlook along the extensive frontage the property also has to Des Swann Dr, which is a relatively quiet street connecting with Fred Thomas Dr," he says.

"Also increasing the property's appeal for residential development is its closeness to Takapuna CBD and beach and the Aorangi northern busway station which are within comfortable walking distances. It is also near the State Highway 1 interchanges, providing excellent access to the Auckland CBD and northern parts of the Shore."

Mimmack says Barrys Point has a proactive group of property owners keen to enhance the appeal of the precinct.

They formed an action group to oppose the initial zoning designation of the area as Light Industry under the Proposed Auckland Unitary Plan (PAUP).

As part of its submissions, the group commissioned a site-by-site land use analysis of Barrys Point Rd which found only 16 per cent of business land was being used for predominantly industrial purposes. The Independent Hearings Panel, which critiqued the PAUP, recommended the proposed Light Industry zoning be changed to Mixed Use, which the council accepted.

Stephen Havill, a director of resource management consultancy firm SFH Consultants which assisted the action group, says the success of submissions to have the proposed zoning changed to Mixed Use is an excellent outcome for Barrys Point Rd owners; and has added considerable value to their properties.

"It means they can continue to use their ground levels for retail and other diverse business uses, which is what gives the road much of its buzz, with office and/or residential accommodation above. This provides a huge amount of flexibility and opportunity."

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The tenancies at 55 Barrys Point Rd have a variety of lease terms and rights of renewals, some of which have been exercised, with final expiries ranging from 2020 and 2025.

A rear office tenancy of about 324sqm will become vacant in May, which also opens up an opportunity for an owner occupier, says Kidd. "This is modern looking, well-appointed office accommodation, with polished concrete floors and other contemporary features."

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