A convenience retail building on an underutilised site in the heart of Manly Village on the Whangaparaoa Peninsula is up for sale offering a variety of future add-value opportunities.
A 170m2 (approximately) single-level building, developed in the 1970s and fully leased to three retail tenants, occupies only around one quarter of the 661m2 of land that it sits on at 60 Rawhiti Road in the centre of Manly’s main commercial precinct.
It is currently home to the Manly Village Bakery, which has been a mainstay in the Manly village for over two decades, a florist and Frankies Gelato & Deli whose varied range of products includes award-winning gelato, sorbet and ice cream, coffee, salads, artisan cheeses and gourmet meats.
The three tenancies are generating total net annual rental income of $69,560 plus GST.
Featured in Bayleys’ Total Property portfolio, the property is for sale by negotiation through Adam Curtis and Damian Stephen, Bayleys North Shore Commercial and Mustan Bagasra of Bayleys’ Orewa office.
Adam Curtis says the property’s high profile main road position close to a busy roundabout in the centre of Manly and its Auckland Unitary Plan Neighbourhood Centre zoning means it has significant development upside.
“The very low site coverage and dual access both from Rawhiti Road and Leal Place, at the rear, provides a real opportunity to add a whole lot of value to this land holding. The current owner has already taken significant steps in this direction by developing detailed plans and concept drawings for a redevelopment of the full site. These have been submitted to Auckland Council for resource consent approval and the vendor has already put a lot of preparatory work into meeting council requirements.”
The proposed redevelopment comprises:
Damian Stephen says the new owner could choose to continue with these plans, with most of the initial hard work already done, or investigate other options for the site.
“The existing three leases have demolition clauses, allowing a purchaser to activate these to redevelop the entire site or they could look to add value by building on the existing well-established and diverse tenancies and renegotiating these leases. They could then potentially add further shops to the site to enhance its critical retail mass and perhaps build apartments at the rear away from the busy street frontage. There are a number of options that could be considered.”
The Business – Neighbourhood Centre zone applies to single corner stores or small shopping strips located in residential neighbourhoods that provide residents and passers-by with frequent retail and commercial service needs. Residential use on upper floors is permitted and encouraged by Auckland Council, says Damian Stephen.
He says the contour of the site rising from the Rawhiti Road frontage towards the rear boundary means future residential development would benefit from views out to the Hauraki Gulf with eastern-facing apartments having an urban outlook towards the CBD.
Two Albany commercial properties, which are likely to sell for less than the average cost of a North Shore residential property, offer opportunities for both owner occupiers and investors.
The properties located in the Interplex Business Park and the Apollo Technical Park have Rating Valuations of $520,000 and $620,000 respectively and have a flexible General Business zoning which means they can be used for a wide range of business activities.
The modern, unit titled premises are both featured in Bayleys’ final Total Property portfolio for the year and will be auctioned on Wednesday, December 5, unless sold prior to that date.
The larger of the two is a 155m2 office unit located at 2G,
5 Ceres Court, which offers a superb office investment opportunity, says Bayleys North Shore Commercial’s Tonia Robertson.
“This an attractive first floor unit in a modern office development in one of Albany’s most desirable commercial precincts,” she says. “With vacancy rates at historical lows in the area, this investment opportunity must sit at the top of the list for both owner occupiers and investors looking for an affordable property in the North Shore’s fastest growing business location of Albany.”
The property is set to generate net annual rental income of $45,000 plus GST with the tenant also paying outgoings such as rates and insurance. A financial services company, which has been in occupation since 2014, has exercised its final one-year right of renewal which expires on November 11, 2018.
“The well-established tenant is keen to extend their lease,” Tonia Robertson says. “So the door would be open for the purchaser to accept a longer-term lease with them or negotiate a short-term tenancy. Alternatively, they have the flexibility to negotiate a lease with another tenant or occupy the premises themselves.”
She says the unit is part of a commercial building constructed in the mid 2000s which comprises two levels of offices with a mix of forecourt and basement on-site car parks.
“The office unit for sale is an upper level end unit in a corner position with large scale windows providing exceptional natural light. It has a flexible layout comprising a functional mix of open plan and partitioned offices, a boardroom and kitchenette with a tiled floor surround.
“The premises has been fitted out to a good standard with a ducted air-conditioning system, full suspended ceiling with recessed lighting and data cabling and an alarm system. The ground floor entrance foyer/lobby area is tiled with modern glass and stainless steel detailing to the stairs while male and female bathrooms with shower facilities are shared with the adjoining tenants in the building.”
Tonia Robertson says the unit also comes with the added bonus of a higher than average ratio of car parking spaces to office area with four dedicated uncovered car parks in the front forecourt area and one covered basement car park.
Another Albany property also scheduled for auction on December 5 is Unit 5, 63 Arrenway Drive in the Interplex Business Park, which comprises a 118m2 warehouse, showroom and office premises plus two exclusive car parks at its front doorstep. It is being offered for sale with vacant possession through Meng He, Ian Waddams and Steven Liu of Bayleys North Shore Commercial.
It is among 22 industrial units in three new buildings at 63 Arrenway Drive which were completed early last year. Meng He says the unit has a well-designed layout with roller door access to a high stud warehouse or workshop with a separate entrance to two levels of interconnected showroom and office space plus amenities which include a kitchenette.
“This is a high quality entry level unit opportunity in Albany which will have appeal to a wide variety of business operators as well as investors given the high level of tenant demand and low vacancy rate for these smaller multi-purpose units. They are well suited to smaller import/export businesses or tradespeople such as electricians, builders or plumbers.
“Of particular appeal to these types of businesses is the fact that the premises are within five minutes’ driving of motorway interchanges either at Constellation Drive or Tawa Drive.”
Steven Liu says the unit is located next door to an Avis and Budget rental car depot, with a wide range of other high profile business tenants located at Interplex, one of Albany’s best known and largest business parks. “We have a very motivated vendor, so this is an excellent opportunity to secure an affordable industrial unit in a popular part of Albany.”