Six retail outlets for sale at 3078-3082 Great North Rd.
Barfoot & Thompson Commercial has released its second Insite portfolio for this year, comprising 15 retail outlets, 12 industrial properties and 15 office buildings.
The properties are also being sold in a variety of ways - eight are being auctioned, three are for sale by tender and two by deadline private treaty. The rest are either for sale or lease.
"We are very pleased with the portfolio that has been assembled by our agents," says Barfoot & Thompson City Commercial's city commercial manager, Peter Churchill.
"In an environment where it is difficult to obtain good investment stock items, our team of more than 70 commercial agents has assembled an incredibly varied array of properties to meet the needs of property users."
Churchill says all the 42 items are "Auckland" properties.
"The properties presented - especially the prime retail ones - will meet the needs of investors, family trusts and high net worth investors.
"They will also appeal to developers and owner occupiers, in locations like the North Shore, South Auckland, West Auckland and central Auckland. Finally, the portfolio will satisfy the requirements of tenants looking to relocate their businesses in newer facilities."
One property featured in the portfolio is a standalone single level retail banking building at 192 Onehunga Mall, which is being marketed by Agnes Teh.
It will be auctioned at 10:30am on Wednesday, August 7, at Barfoot & Thompson's auction rooms at 34 Shortland St unless it sells before the auction
"This freehold property with good street frontage on to Onehunga Mall, and with the rear fronting Gerrard Beeson Place, is at the heart of Onehunga main retail district adjacent to the popular Dress Smart shopping mall," Teh says.
"The vendor has owned this property, which is in a fast-growing suburb, since 1997. We believe it is a great investment opportunity and that it will be highly sought after by bidders at the auction."
The building has a floor area of about 400sw m on a 491sq m site, and has a frontage to Onehunga Mall of 9.05 metres and a depth of 44.4 metres.
It has a customer and consulting area at the front of the building with a secure area containing vault, staff room and toilet amenities behind the retail banking space.
Staff car parking for four vehicles is at the rear of the property with access from Gerrard Beeson Place.
The single-level reinforced concrete building consists of two structures - an original banking chamber built around the mid-1950s and a rear extension built in 1976-77.
Teh says the building has been assessed as having a seismic rating of more than 100 per cent of the New Building Standard.
The ANZ bank leases the whole property and has renewed its lease for a further term of four years from August 1 last year through to July 31, 2016, with a further right of renewal of four years taking it to a final expiry date of July 31, 2020.
"It should be noted that the rental of $97,860 a year has not increased since the original lease commenced in 1990. ANZ renewed its lease last year and, at the bank's request, the landlord undertook significant refurbishment of the premises."
The property is zoned Business 2, applying to traditional suburban retail areas under the Auckland Council's District Plan.
Teh says a wide range of activities is permitted in the zoning, including care centres, community welfare agencies, educational facilities, healthcare clinics, laboratories, offices, restaurants, retailers, warehousing, places of assembly, industrial workrooms and residential units.
Another property in the portfolio and for sale at the same auction is also at the centre of a suburban shopping area at 3078-3088 Great North Rd, New Lynn. The single level retail property is leased to six tenants and generates annual rent of $204,982.
Originally comprising three separate buildings built between 1945 and 1950, it has been subdivided into six retail shops, all leased separately but on one freehold certificate of title.
The property has 20 car parks of which 12 are "stacked". All are leased to the retail tenants and are at the rear of the site.
Marie-Anne Molloy, who is marketing the retail block for auction, says it is in the heart of New Lynn close to LynnMall shopping centre and the recently upgraded/developed New Lynn transport centre.
"New Lynn is still going through a major transformation," Molloy says. "The New Lynn urban plan envisions it to be a sustainable, urban place centred on a world-class transit interchange capable of attracting and maintaining a population of 20,000 residents and 14,000 workers by 2030."
The property is zoned Community in the old Waitakere City component of the Auckland Super City's district scheme.
"This zoning applies to 'town centres' within the boundaries of the old Waitakere City with permitted activities being primarily for commercial and retail uses," Molloy says.
The site has an overall area of 1189msq m.
It is flat and is on the corner of Great North Rd and McRae Way.
"It is almost rectangular in shape and has an excellent frontage, for retail purposes of 43.16m with an average depth of around 31m," says Molloy.
"These are typical retail shops developed around the 1940s, with concrete foundations, concrete block walls and corrugated iron and fibrolite roofs.
"They have an initial evaluation procedure seismic rating in excess of the minimum of 34 per cent."
The retail outlets combined have a net lettable area of around 703sq m and generate a total annual return of $204,982 from net leases.
Molloy says the leases are for varying lengths and, if all the renewals are exercised, the terms will extend to 2027.
"The differing lease terms provide an owner with a lower risk profile as opposed to having their income profile dependent on one tenant," she says.
Kanav Group is on a two-year lease from August 1 this year, paying $32,500 a year with a final expiry of July 31, 2019, if two two-year rights of renewal are exercised.
Housheng Wu pays $35,500 a year on a two-year lease from July 1 last year, with a final expiry of June 30, 2018, if all renewals are taken up.
Each of these tenants has two car parks plus two stacked.
Nutrix Pharmacy New Lynn pays $35,600 a year on a six-year lease which can be extended to May 31, 2019, and has four car parks with four stacked.
Copy Solutions pays a net annual rent of $35,882 with a final expiry of July 31, 2016, with all renewals and has three car parks and one stacked.
Cassidy Optometrists pays annual net rent of $34,500 on a four-year lease with a final expiry of March 31, 2030, if all renewals are exercised and Dominos Pizza pays a net rental of $31,000 a year with a final expiry of October 30, 2027, through the exercise of all renewals.
Both have two car parks and all tenants pay GST plus outgoings.
Who bought, who sold, who did the deals.