A newly-built, first-class industrial property with two long-term tenants is for sale in Auckland's northwestern growth hub of Hobsonville.
Colliers International is marketing 3 Rawiri Place for sale by deadline private treaty closing at 4pm on Wednesday November 28, unless it sells earlier.
Craig Smith, of Colliers' West Auckland office, says the property comprises a 2739.5sq m industrial facility on a 5003sq m freehold site with full drive-around access.
"It's a modern standalone industrial building with a clear-span warehouse equipped with fire sprinklers, modern air-conditioned offices and 32 off-street car parks. It is offered to the market with two new tenancies in place earning $483,795.50 plus GST in net annual rent."
He says the anchor tenant Hoop, is a leading provider of outsourced retail solutions including shelf restocking and brand activation. Hoop is signed to an eight-year initial lease with a bank guarantee.
"The building has been split into two distinct areas, with Hoop occupying the front of the building and Leighs Construction the rear.
"Leighs is on a six-year lease underwritten by the vendor, providing a guaranteed source of additional rent. With its favourable leases, high-spec modern construction and excellent growth location, this makes for a solid bottom-drawer industrial investment."
The property, featured in the latest Colliers Portfolio, is in the Workspace industrial subdivision, which comprises 22 freehold sites. Some 90 per cent of the development is complete or under construction.
"Workspace is a sought-after subdivision housing national tenants such as SPCA, Makita, Sherratt Foods and BidFood," says Smith.
Industrial specialist Matt Prentice says Hoop leases a 1490.4sq m warehouse, 515.8sq m of offices and amenities, a 293.4sq m canopy and 23 car parks.
"The high-stud warehouse has a minimum height of 8m and provides excellent natural light throughout. It is accessed via two motorised rollers doors, with the drive-through canopy providing for all-weather loading and un-loading capability."
The Hub International Ltd, trading as Hoop NZ, is signed to a new lease earning $359,870.50 plus GST in net annual rent, backed by a bank guarantee. The lease contains one right of renewal of six years, plus two further renewals of three years each, extending the total term to 20 years.
Fixed 2.5 per cent rent increases take place annually except for every third year and on renewal, when ratcheted market rent reviews are due.
Leighs occupies a 676.2sq m warehouse, 174.3sq m of all-weather canopy, 209.3sq m of open-air canopy, a small 32.1sq m office and amenity area, and seven car parks.
The warehouse is accessed via two roller doors under the all-weather canopy, with a further two roller doors at the rear of the building under the open-air canopy.
The vendor's underwritten lease earns $123,925 plus GST in net annual rent, with 2 per cent annual increases every year from settlement. There are no rights of renewal.
The warehouse is constructed of reinforced concrete foundations and slab floors, precast concrete walls with steel profile sheeting, and a structural steel frame supporting steel roofing.
The property is 20km northeast of Auckland CBD in an area undergoing residential and industrial development. Hobsonville Point, just to the east, will soon have 10,000 residents in 4500 homes.