Two high profile and freehold properties, along with the two established and successful Tyre Works Ltd businesses occupying them, in Rotorua and Mt Maunganui, have been put on the market.
"Both sites have road frontages to main arterial traffic routes with high traffic exposure and are zoned Industrial 1E," says Sharene Temple of Sothebys International Realty.
Temple is marketing 13 Fairy Springs Rd, Rotorua and 67 Hewletts Rd, Mt Maunganui, for sale by tender closing at 2pm on March 1 in Sotheby's office at 295 Parnell Rd, Auckland.
"The vendor owns the two Tyre Works businesses, which lease the properties he owns; and the Mt Maunganui property also has a second independent tenant," she says.
Temple says the two properties have been recently refurbished adding capacity for growth.
"The one in Rotorua is a concrete and steel new building with a floor area of about 1390sq m on a 2157sq m land site. In addition to the workshop area, there are two offices upstairs and a server room.
Tyre Works pays $147,056 per annum plus GST on a four-year lease commencing March 26, 2016, with two 4-year renewals. The first rent review is due on December 1, 2019, and two yearly thereafter.
"Three combined lots make for a rectangular shaped site, with a frontage of around 53.6 metres to main arterial Fairy Springs Rd, and also to a KFC restaurant through to the left of the property, giving great exposure to passing traffic."
The Mt Maunganui property has a total floor area of around 2159.4 sq m encompassing two buildings on a 4360sq m flat site with Tyre Works leasing space in both buildings. The front part of the roadside building is tenanted by Evolution Cycles.
Space within the front building at 67A Hewletts Rd is leased by Tyre Works for $67,110 per annum plus GST commencing December 1, 2014, on a four-year term with two 4-yearly rights of renewal and now two-yearly rent reviews.
The space leased by Tyre Works in the back building at 1/67 Hewletts Rd has a four-year lease to Tyre Works commencing December 1, 2014, with two 4-year renewals taking a final expiry through to December 1, 2022. Rent reviews are now two yearly and the annual rent is $35,000 plus GST.
Evolution Cycles, the other tenant occupying Units 1 and 2 at 67 Hewletts Rd, is on a four-year net lease commencing July 1, 2015, and pays $86,841.67 per annum plus GST. Rent reviews are also two yearly.
The front of the roadside building comprises showroom space, open plan office, workshop, two toilets, and a mezzanine room; along with a deck leased to Evolution Cycles.
At the back of this building is a workshop with a 4-6m height, toilet and a mezzanine landing with an office area.
The rear building encompasses a warehouse with a 6-8m height to ceiling; reception, staff room, client room and mezzanine space.
Temple says the property, with a 37.61m frontage to Hewlett Rd, is highly visible to traffic travelling between Mt Maunganui and the Tauranga Harbour Bridge.
"The Maunganui area is the closest industrial area to the Port of Tauranga and Hewletts Rd is a major arterial route with heavy traffic usage."
She says the property has an excellent central location within the Mount Maunganui industrial area and good access to air, sea and rail services.
"This sale presents a rare opportunity to purchase two Bay of Plenty commercial properties on major roads with established businesses as tenants.
"The vendor is retiring and would prefer to sell the portfolio of land, buildings and the two Tyre Works businesses to just one buyer."