Freehold development site with holding income in Manukau’s growth core

Freehold development site with holding income in Manukaus growth core  hero

Manukau’s longest-standing car yard property is for sale with holding income to 2023, providing a generous planning window for a buyer looking to unlock the site’s huge redevelopment potential.

The 2,600sq m freehold property at 635 Great South Road is well located in the heart of central Manukau, a stone’s throw from the busy intersection with Cavendish and Te Irirangi Drives.

It is zoned Metropolitan Centre under the Auckland Unitary Plan, which allows for the greatest intensity and scale of development outside of Auckland’s CBD.

Less than three years remain on a 10-year lease to Turners Cars, which is part of New Zealand’s largest vehicle sales group.

The lease provides $187,000 plus GST in annual holding income, with a market review in June 2021 providing scope for rental uplift before the site is freed up for redevelopment in June 2023.

Colliers International has been exclusively appointed to market the property for sale by deadline for offers closing at 4pm on Wednesday 7 October, unless sold earlier.

Director Paul Higgins says it is a rare opportunity to secure a high-prolife central Manukau site with abundant future potential.

“Developable and vacant land in South Auckland is becoming increasingly rare, particularly in such a sought-after location.

“The property is superbly positioned on a key stretch of Great South Road, with 29m of road frontage providing maximum exposure to high volumes of passing traffic.

“The site is a short distance from the motorway interchange on Te Irirangi Drive, providing easy accessibility, and also offers excellent proximity to nearby amenities.

“Manuaku’s civic centre, train station and popular Westfield shopping centre are all within a 10-minute walk, while AUT University’s Manukau campus is a few minutes to the north.

“Pak n’ Save is adjacent to the property’s western boundary, while Countdown is located across the road at the SouthPoint shopping centre.

“This abundance of amenity, combined with the site’s generous zoning, make it an ideal location for mixed-use redevelopment, perhaps including a combination of residential, retail or commercial uses.

“With plentiful options, a superb growth location, and the sweetener of holding income, this property is a developer’s dream.

“The site will also appeal to add-value investors, land bankers, or a business seeking new premises, with the bonus of rental income until the site is ready to occupy.”

Matthew Barnes, South Auckland Director of Investment Sales at Colliers, says the property combines low site coverage with an easy development footprint.

“The flat, regular-shaped site comprises a sealed commercial car yard with a 190sq m office and workshop building over two levels.

“Constructed in the 1980s, the building is centrally located and covers only 7 per cent of the site.

“Access is via dual driveways from the Great South Road frontage, providing full drive-around capability.

“The minimal improvements and Metropolitan Centre zoning make it an excellent ‘blank canvas’ for a developer.”

Barnes says the site’s zoning allows for high-density development of up to 72.5m in height.

“The zoning provides for a wide range of permitted uses including office, retail, residential, hotels and tourism, and cultural, community and civic services.

“Interested parties are encouraged to consult their preferred planner to understand the implications of adjacent zoning on their development aspirations.”

The site is currently leased to Buy Right Cars (2016) Limited, which is part of NZX-listed Turners Group.

Turners Group has been in business for more than 50 years and is New Zealand’s largest seller of cars, trucks and machinery. Its 31 branches employ nearly 500 New Zealanders.

In May 2019, Turners rebranded the Buy Right Cars network to Turners Cars. This strengthened the Turners Cars footprint in Auckland, adding eight branches.

The Great South Road branch is the longest-standing car yard in Manukau; numerous other car dealerships have since clustered in this location.

To this end, South Auckland Motors, Southern Autos, Manukau Hyundai, Manuaku Toyota, Auckland Motors Mitsubishi, Budget Car Sales and Kilburn Motors are all located on the same stretch of Great South Road.

Manukau has become one of the most sought-after industrial and commercial areas in Auckland, with many leading companies now choosing to call it home.

A mixture of large format retail, traditional retail and industrial operators create an eclectic mix of businesses, offering a wide range of amenities.

Both Auckland Council and central government consider Manukau to be one of Auckland’s key growth hubs, which is recognised in the Auckland Plan and supported by heavy public investment in infrastructure.

The recent extension of State Highway 20 gives access to the wider Auckland region, with travel times to Auckland’s International Airport being considerably shortened.


Related Experts

Paul Higgins

Director | Industrial

Auckland South

Paul joined Colliers in 2005 working in Auckland's industrial team specialising in the mid to upper end sales and leasing market. Paul has also spent a couple of years working for Colliers in the Central and Eastern Europe market where he was Director of Poland's Krakow office. In 2010 Paul returned to Auckland to again work in Auckland's industrial market.

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Matthew Barnes

Director | Investment Sales

Auckland South

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