Tram Stop in motion once more

The Tram Stop building at 809-815 Mt Eden Rd, with commercial space at its rear. Photo / Supplied

The Tram Stop, a landmark Mt Eden building alongside one of Auckland's main former tram routes, is on the market for the first time in 25 years.

The solidly built 1920s character building at 809-815 Mount Eden Rd was affectionately named "the Tram Stop" as it encompassed a much smaller structure that sheltered waiting tram users from the wind and rain. The tram service along Mt Eden Rd ran from the early 1900s until 1956.

Now a boutique retail block, the property is fully tenanted with separate retail, office space and private accommodation, and ancillary use of the building structure combines to generate rental earnings of $154,619 per annum.

The Tram Stop building and land at the rear is being marketed for sale at auction on July 27 by Nicolas Ching and James Chan of Bayleys Auckland.

Ching says the diverse tenancy schedule within the Tram Stop building minimises the risk of relying solely on the commercial operations of just one tenant. Tenancies comprise a cafe and gourmet foodstore occupied by Dulcie May Kitchen, which has a lease and right of renewals until 2014; a gourmet bakery occupied by Wild Wheat; a men's fashion-clothing outlet occupied by Strada Fashions, which has a lease and right of renewals through to 2016; a first-storey office space occupied by a small accountancy firm which has a lease and right of renewals through to 2014; and a first-story office space and adjoining two-bedroom flat occupied by a legal-services firm, which has a lease and right of renewals through to 2015.

Additional revenue is generated from prominent advertising signage on the sides of the building as well as from having a Telecom mobile repeater on the roof, which has a lease and right of renewals until 2019.

There are 11 carparks behind the building occupying 847sq m of land. The upstairs level is accessed by a separate entrance located to one side of the building.

Ching says that with a Zone 1 Business classification for the site, there is considerable potential to develop additional commercial space at the rear of the property.

"The building sits on the extreme front border of the land, along a 19.8m stretch of a high-profile arterial transport route," Ching says.

"The positioning of the retail units allows for the potential to further develop the rear of the site into a modern multi-level commercial office space with parking facilities on the ground floor, and concept plans have been drawn up for such a development on the land."

Ching says that Mt Eden has a village feel to it and businesses there are supported by a high socio-economic population that benefits the "boutique" nature of The Tram Stop building.