Investors reassessing their property portfolios have created attractive new opportunities in the local market, according to Noel Gilchrist, investment sales manager of Colliers International in Christchurch.
Highlighting the trend are four recent sales of commercial properties, recently sold in the city for a total price tag of more than $9 million.
“Recent events are creating opportunities, and unlocking property that would previously been tightly held. We’re finding that there are certainly some owners who are reviewing substantial portfolios and choosing to sale some properties which may have been held for 20 or 30 years,” Gilchrist said.
“Some people will cash up but it’s creating great opportunities for other investors who are acting pretty quickly.”
Local private investors have bought a large site at Twigger St, Addington, adjacent to the CBS Canterbury Arena. ACC has just taken a six-year lease on the site that previously housed the sprawling model of the Pegasus lifestyle development. The property comprises two buildings (one of 2500m2 and the other 1300m2) linked by glass foyers.
The Raeward Fresh site, on the prime corner location of Ferry and Aldwins Rd, has been sold to a local partnership for $2.9 million. Coupland’s Bakeries still has six years to run on its lease while the remaining space is to be split between Harvest Fresh and the Mad Butcher, according to Colliers retail leasing specialist Nick Doig.
Champion Nelson Ltd, a subsidiary of Raeward Fresh, previously owned the property. It developed the former service station in 2007 but wanted to realise capital to help fund its expansion further south.
Doig said there was strong interest in the 4787m2 site because of its visibility, accessibility, the calibre of the tenants and potential to add further income.
In Lincoln, a 20033m2 property earmarked for motels sold to a developer at auction amid spirited bidding for $690,000. The site is in two titles with construction work already under way on a nine-unit motel complex. Gilchrist said the property, zoned Business 1, had potential for a broad range of uses including motel or university accommodation, retail or residential.
In the CBD fringe, a 283m2 block of land adjacent to the Convention Centre in Peterborough St has been bought by Miles Yeoman, who has plans for a boutique four level complex comprising café, office and apartment. The property, which changed hands at $875/m2, previously housed a retail and office building which was demolished after the February quake.
For further information, please contact:
Noel Gilchrist, Investment Sales Manager, Colliers International Christchurch, 03 365 7887, 021 335 837, noel.gilchrist@colliers.com
Print this article or Email to a friend