Santa Rosa Foods' manufacturing complex in the Waterloo Business Park.
The new manufacturing complex of Christchurch-based Santa Rosa Foods, at Waterloo Business Park, Islington, has been placed on the market for sale through Savills.
The state-of-the-art 2590 sq m manufacturing facility, built by Apollo Projects, provides modern food processing technology. It contains various raw and cooked processing and storage areas, two freezers, nine chillers and four cookers. Office space, a factory shop, staff and visitor parking and truck loading areas are also on site.
Santa Rosa began operating from 520 Waterloo Rd a year ago and was the first business to move into the Waterloo Business Park. It's also the first investment property to be offered for sale within the master-planned business park.
Savills' agent Ben Dwan is exclusively marketing the property for Southpark Corporation, the property's developer and a partner in Waterloo Business Park via a deadline private treaty sales campaign closing on October 14.
Dwan says the property has all the hallmarks of a high-quality investment. "This is a new, high-tech facility built in excess of 100 per cent earthquake code. It has an extra-long lease in place with guarantees, and the property's location on the fast-developing western edge of the city will also be a big drawcard for investors."
He says Santa Rosa Foods holds a 15-year lease on the property, generating net rental income of $853,650 per annum with annual rent reviews providing the potential for income growth.
"The facility provides the business with a high quality temperature-controlled and hygiene-safe environment necessary for food production," says Dwan.
Santa Rosa Foods is a prominent Canterbury business with a staff of over 60 that has supplied poultry products to restaurants, caterers and supermarkets for over 30 years.
"The 8051 sq m site also offers investors a significant land holding on the sought-after western border of the city near the airport.
"Southpark designed and built this property for Santa Rosa with the long lease an indication of the company's commitment to its new location. This is a big plus for investors, representing an excellent long term passive holding with great cash flow."
Scott Campbell, general manager of development at Southpark Corporation, says the company is selling the property in order to recycle capital into other developments.
"We currently have over $120 million of projects underway or in early stages of design, so we are constantly reviewing our portfolio and divesting assets where necessary."
Dwan says the widespread shift west of people and businesses since the earthquakes has had a positive effect on property values in this area. The western edge of the city is now a preferred location for investors and occupiers because of its modern building stock, high-quality land and good transport links. "Based on these factors we're expecting strong demand for the Santa Rosa facility."
Waterloo Business Park is located about 10 km from Christchurch Airport with good transport links to the CBD and Lyttelton port.
Other current and future occupiers include: Hagley Building Products, Fliway, Rental Car Village, Conroy Removals and Davis Food Ingredients.
Campbell says Southpark Corporation is working on designs for a public square set among the restored heritage buildings of the former Islington Freezing Works. "Our retail offering and master planned open space will give Waterloo a level of amenity to service a seven day a week catchment not seen in any other business park environment in the South Island."
Along with Christchurch City Council and NZTA, Waterloo Business Park is also investing in local roading upgrades and extensions which will significantly improve access to and from the site.