A purpose-built Hawke’s Bay facility that has for 20 years housed one of New Zealand’s leading food manufacturers and exporters has gone up for sale.
The world-class food production facility on two adjoining titles at 1404 Omahu Road and 8 Chatham Road, Hastings, is strategically located close to key food producing areas within the established Omahu Road industrial and food processing precinct.
The facility is fully leased to Greenmount Foods, which has occupied the entire property since the main processing plant was built in 2001, and the Chatham Road site since 1994.
The company pays net annual rent of $258,000 and all outgoings plus GST on a current lease which runs through to 2025. Two further rights of renewal would each extend the expiry by five years less one day, with final expiry in 2035. The lease incorporates two-yearly CPI rent reviews, with the next being in October 2021, replaced by market rent reviews in 2025 and 2031.
Founded in 1994 as CSI Processors Ltd, Greenmount Foods is today an international supplier of world-class food products such as sauces, stocks, prepared meals and value-added vegetables.
The company serves foodservice, retail and manufacturing customers across Asia, the United States, the Middle East, Australia and New Zealand. Its team of 120 staff formulate foods using dairy, seafood, vegetables, beef and lamb.
The land and buildings housing the company’s facility at 1404 Omahu Road and 8 Chatham Road, Hastings, are now being marketed for sale by tender closing at 4pm on 3 June, through Colliers.
Colliers Broker Rob Nankervis says the property consists of multiple buildings with a combined floor area of some 2,297sq m on approximately 8,200sq m of land across two freehold titles. The site has dual access from Omahu and Chatham roads and includes generous yard and parking areas, he says.
“The modern main processing plant and adjoining two-level office annex at 1404 Omahu Road were constructed in 2001.
“The processing area incorporates comprehensive facilities including peeling, cooking and repack rooms, a quality-control room, a freezer and chillers, waste, hopper and bin storage areas, plus a dispatch area, plant room, workshop and office.
“The ground floor of the adjoining office and amenities block contains a staff room, boot room, male and female amenities and changing rooms plus a lobby area. The first floor includes a landing area, reception, three offices, kitchen, amenities and boardroom,” says Nankervis.
The former processing facility at 8 Chatham Road was constructed around the 1960s and is made up of a number of structures, including a building now used for dry storage. This facility also contains a small office and amenities.
“At the rear of the Chatham Road site is a large storage freezer. A further building constructed around 2002 provides high-stud cool storage accommodation.
“A number of small plant rooms are located between the old processing facility and the cold store. Four 30,000-litre storage tanks along the Chatham Road boundary are utilised as part of a trade waste discharge consent. These are a tenant improvement used to lower flow rates,” Nankervis says.
The site housing the Greenmount Foods plant is zoned General Industrial under Hastings District Council’s district plan. This zoning allows a variety of industrial activities as well as ancillary retail sales and offices plus the likes of service stations and dairies.
“The Omahu Road precinct is a popular and well-established area for industrial and food processing activities. Nearby operators include Heinz Watties, McCain’s, Freshmax and WineWorks,” says Nankervis.
“The site for sale is close to important sources of high-quality raw materials, logistics hubs and the Port of Napier. It sits at the north-western fringe of Hastings, about 5km from the central business district.
“Omahu Road is the main arterial traffic route running northwest from the city centre. It provides easy access to the Hawke’s Bay Expressway, less than 2km from the Greenmount Foods facility, as well as the region’s other major industrial areas,” Nankervis says.