Bayleys Warkworth salespeople Henry Napier and Dylan Tuner are selling the Wellsford Caltex service station complex, which stands at the meeting point of Auckland City's two main routes north, State Highway One and State Highway 16.
"This location is comparable to being at the confluence of two mighty rivers," says Napier. "About 12,000 vehicles pass this point each day, having little choice but to do so."
He says the land and buildings — but not the Caltex-branded fuel retailing business or food court entities — are for sale by a tender process, closing at 4pm on June 14. The property features in Bayleys' latest Total Property portfolio magazine out this weekend.
"As well as having an incredible location there's a sizeable asset here — a 540sq m complex standing on 3352sq m of freehold land. From diverse tenancies this property generates total annual net rent of $444,380, making it an exceptional passive investment."
The high-profile food and beverage brands operating within the complex include Wellsford McDonald's, Jesters Pies, LJ's Seafood, a standalone Indian cuisine takeway called Butter Chicken Box and the video game operator 'Time Out'.
The tenancy schedule is as follows:
• Caltex is on a lease generating annual net rent of $184,468;
• McDonalds on a lease generating annual net rent of $129,461;
• LJ's Seafood on a lease generating annual net rent of $55,436;
• Jesters Pies on a lease generating annual net rent of $30,457;
• Butter Chicken Box on a lease generating annual net rent of $25,000; and
• The Time Out Arcade gaming area paying $19,556 rent per annum.
Napier believes that the Wellsford fuel and food businesses work together in symbiotic fashion. Having such a wide variety of cuisine on offer increases the attraction among the travelling public – there's effectively something for everyone, he points out.
"In fact, customer-use analysis indicates that as motorists fill-up at the forecourt, passengers tend to get out so that they can make simultaneous food and beverage purchases at the food court.
"Obviously the food-service operations within the site benefit from the extremely high traffic-count coming from both directions. Yet despite being located on State Highway One, there's ample parking available. Motorists can stop immediately outside the front door on St Highway One, there's limited parking available in a corner of the service station forecourt and more on the Port Albert Rd."
Turner says for north-bound motorists who use State Highway One regularly, Wellsford is a popular stopping point.
"They know there's not a lot of other roadside convenience food outlets between there and Whangarei."
Turner cites an engineer's report on the premises which indicates few internal modifications to the layout since the premises was constructed. He says this shows the mixed-use model has been working successfully, with little need to change the tenancy mix.
The single-storey service station and convenience food complex was built in the 1990s, on reinforced concrete foundations, with steel reinforced block columns supporting an iron roof laid on steel purlins.
He says the service station canopy is a substantial structure built of conventional steel framing on eight columns and is clearly visible from several hundred metres away because of its height prominence above the adjoining food complex.
"State Highway 16, also known as Port Albert Rd, is the alternative route out of Auckland when State Highway One becomes congested — normally on the stretch between the Johnstones Hill tunnels and the Matakana turn-off at Warkworth," says Turner.