More than $9 million of commercial property sells under the hammer
Investors remain hungry for commercial property in Christchurch, with more than $9 million under the hammer at the latest local Colliers International auction.
Bidding was lively across the spectrum of properties in a packed auction room.
The ‘as is where is’ apartment market continued to yield strong results for body corporates opting to sell. The latest to sell for $2.1 million was a complex of eight townhouses in prestigious Conference St on the city fringe near Bealey Ave.
Other highlights included the former Spagalimis Pizza site on the corner of Victoria and Dorset Streets, which was keenly sought, eventually fetching $2.5 million.
Interest was strong in new retail units at Wigram Terminal with four of the five selling in prices ranging from $1.120m to $1.750m.
Built in 2017, the multi-unit building sits on a land area of 3,800sq m with a total net lettable area of about 1,420sq m.
Consisting of seven separate stratum in freehold unit titles, it comprises five ground floor retail tenants on 10-year leases. They include a restaurant and bar, and a gym.
The complex currently has a passing income ranging from $30,000 to $120,000 with future growth opportunity.
Colliers International Christchurch agency general manager Mark Macauley says there is still substantial unsatisfied demand.
“This was one of the busiest auctions we’ve had with more than 200 bids recorded over the 8 properties which sold under the hammer," he says.
“This highlights the continued strong interest in the commercial property market and we expect to see a continuance of the strong investor demand throughout 2018 with a limited supply of properties available and a hungry investor appetite.”