NEARLY three hectares of Wellington warehouse space is up for lease as supermarket giant Foodstuffs prepares to shift operations to a giant new distribution centre in Palmerston North.
It is moving out of its Silverstream and Porirua warehouses when all central and southern North Island distribution to Pak’ n Save, New World and Four Square stores will be handled from about March next year from its new $70 million 36,000 square metre semi-automated warehouse now under construction near Palmerston North Airport. The shift will make most of its giant Silverstream and Porirua warehouses redundant, although Foodstuffs administration and property management staff will continue to be based at Silverstream long term. The company is also keeping a bottling plant there.
Foodstuffs property manager Wayne O’Styke said the shift to Palmerston North would be staged over some months.
The Silverstream warehouse is owned by Property Asset Management Trust and Foodstuffs would retain the head lease.
The Silverstream warehouse covers 17,000sqm, has an insulated ceiling, smart lighting, multiple dockways and forklift charging racks.
Colliers International agent Chris Gollins said the warehouse could be split.
‘‘We are looking for tenants from about 5000sqm upwards.’’
Rents would be negotiable starting from $65 per sqm and lease terms were also negotiable. The 11,000sqm Porirua warehouse is at Central Park.
It is owned by St Laurence Group and is on a lease that expires in October 2011 but with a right of renewal. Rent is $50 per sqm, including rates and insurance Mr O’Styke said Foodstuffs’ freight com pany AFL Transport held the lease and would either sub-lease it or negotiate to allow a longer-term lease direct to the owner.
Mr Gollins said it was a chance for a leasee to try Porirua for a couple of years knowing they could then take another six years or more beyond 2011.
They could also sublease for a shorter term ‘‘but there’s nothing cheaper with a roof on it’’.
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