With growth in revenue from car park buildings set to further increase, the time is ripe for the sale of one of Christchurch CBD’s newest and most attractive car parks.
Marketed by investment sales specialist Courtney Doig of Colliers, the Innovation Car Park is at 160 Lichfield Street where it can accommodate 359 cars and 164 bikes.
Completed in May 2016, the property is comprises two assets. A 359 bay car park building, with 164 secure bike parks and 56 motorbike parks which has been subdivided into 428 unit titles. This structure provides multiple options for the future.
The building can be purchased as one or in two parts by deadline private treaty closing May 5, 2021.
Innovation Carpark is currently managed by Secure Parking, an Australian and New Zealand based car parking Manager and Operator.
The second asset is the fully leased ground floor retail consisting of five tenancies totalling 1,166 sqm.
Doig says it’s rare for carparking buildings to be sold, especially in a prized location and anchored by 999 year leases to the nearby Vodafone and Kathmandu buildings and on the doorstep of the new Canterbury Multi Use Arena (the stadium).
“Astute buyers can buy the car park, business or assets, or alongside the retail investments on the ground floor. Pressure being exerted on the owners and operators of on-grade car parks with new legislation that may take effect from June 30 2021, growth in car park revenue is assured.
“That, coupled with certainty around the new stadium following the announcement of the successful build consortium, means pressure for parks is growing markedly.
“There’s a shortage of quality properties on offer in the market and this opportunity is a prime example of one that has growth and value add appeal for hungry investors. The market is so strong and our campaigns are attracting enquiry and buyers from throughout New Zealand.
“We think this is arguably New Zealand’s most attractive car park building.”
The car park enjoys a net income of $1.3 million with conservative growth predictions of an average 5.2% over the next five years annually and a 611 year WALT.
The ground floor fully leased Retail enjoys $426,937 of net income and a WALT of 11.8 years. Its quality tenants comprise Snap Fitness, 9Round, Dominos, the Slate Room bar and Tre Fratelli.
The highly attractive building itself fronts onto Madras and Lichfield Streets, but is accessible via Nurseyman Lane, off Lichfield Street. The laneway has one way traffic flow, which sees car park users enter from Lichfield Street and then exit onto Tuam Street.
Doig says the location of the Innovation Carpark’s in the SALT District is hard to beat, underpinned by being strategically positioned across from stadium, Doig said.
“The SALT District has been dubbed Christchurch’s most alternative and vibrant neighbourhood. It’s a careful fusion of heritage and modern buildings, with mural- splashed laneways and plenty of greenery and outdoor space. There are a myriad of eateries and eclectic shops, as well as residential apartments and commercial offices.”