A coveted opportunity has become available to purchase, located in one of New Zealand’s most notable commercial and residential suburbs where land holdings of this magnitude with favourable zoning are scarce.
The properties at 35-45 The Strand in Auckland’s Parnell comprises of three, circa 1980’s medium stud industrial workshops on three freehold titles comprising a total land area of 1,934sq m (more or less).
The two properties at 39-41 and 43-45 The Strand are on two separate titles of 580sq m and 655sq m (more or less) but comprise one building. Whereas 35-37 The Strand is on a separate title of 699sq m (more or less) with a stand-alone building.
The buildings are a mix of ground floor reception/office area, and medium stud warehouse/workshop space. The first floor of 39-41 The Strand provides office accommodation.
The current mix of three tenancies in the premises provide net rental income of $266,647 pa + GST + outgoings.
Murray Group Holdings Limited, that occupies 35-37 The Strand, is on a one-year lease term expiring on the 14th of June 2021 with a one-year right of renewal.
Halter Limited, that occupies 39-41 The Strand, is on a on a two-year lease term expiring on the 31st of July 2021.
Tourism Enterprises Limited, that occupies 39-41 The Strand and 43-45 The Strand, is on a on a three-year lease term expiring on the 21st October 2022.
Colliers has been exclusively appointed to market the properties For Sale by Deadline Private Treaty closing 4pm, Wednesday 31 March 2021 (unless sold prior).
David Burley, Associate Director at Colliers who is marketing the property alongside colleague Shoneet Chand, says 35-45 The Strand is an outstanding opportunity that is being formally marketed for the first time as a combined offering.
“Located in one of New Zealand’s most notable commercial and residential suburbs, the three titles are being offered to the market as a combined offering or as individual titles.
“The Business - Mixed Use Zone allows for a broad array of building uses and with an 18m height limit and dual access to the site provided by 43-45 The Strand and Augustus Terrace, we expect to field interest from developers, add-value buyers, owner-occupiers and investors for these prestigious properties.”
Burley also explains that utilising the existing improvements could provide critical time and cost efficiencies to a number of end-use options.
“Some of the options on offer include holding and re-leasing as is, repositioning the premises into destination retail and commercial space, providing an owner-occupier with new, easily accessible space or developing into a residential apartment, accommodation or Build-to-Rent project.
“Ultimately, there are options galore, and opportunities of this calibre of property are highly sought after,” says Burley.
Shoneet Chand, Director at Colliers notes the new owner or owners can have confidence in their decision-making to purchase the sites given the readily visible benefits of other premises in the area.
“There has been a significant level of development activity in the area already, supported by the location’s proximity to major infrastructure networks and its prominence in the City Fringe.
“What makes the properties at the 35-45 The Strand standout is the sizeable and uninterrupted road frontage, dual access from both The Strand and Augustus Terrace, Business – Mixed Use zoning and its position on the southern side of The Strand, approximately halfway between the intersections of St Georges Bay Road and Parnell Rise.
“The properties are perfectly nestled within the established Parnell service industrial/commercial area on the eastern periphery of the Auckland Central Business District.
“The Strand is a main connecting thoroughfare between the waterfront and Stanley Street through to the on-ramp to the southern motorway system or alternatively Downtown Auckland.
“The property is also within proximity to Parnell Road which forms an integral part of the main thoroughfare between Downtown Auckland and Newmarket and contains a range of specialty retailing and supporting business services.
Much of the surrounding area, particularly on The Strand and nearby St Georges Bay Road, has its origins in the early Port development.
However, in recent times the area has seen the development of residential townhouses both in the form of converted commercial buildings and some purpose-built developments as well as the redevelopment of a number of existing buildings into modern office/ showroom premises.
According to the latest Colliers Research, the office vacancy in Parnell has barely shifted in the past 12 months, currently at 4.3% as at September 2020 compared to September 2019.
Chand says, “overall, this is a strategic purchasing opportunity in a coveted City Fringe location with favourable Business - Mixed Use zoning. Discerning buyers will be able to see the immediate and future value in such rarely available sites.
“We invite all interested parties to undertake their necessary enquiries without delay and get in touch with us to access the comprehensive data-room for more information.”