Gough Group has sold its last remaining property asset, the Christchurch base of its heavy machinery operations for the past 50 years.
The huge industrial site, at Amyes Rd in Hornby, has been bought by a private Christchurch investor for $14 million.
In 2019, the family-owned New Zealand business operations were sold to Sime Darby Berhad, one of the largest Caterpillar heavy machinery dealers globally. It has a range of commercial interests in the New Zealand transport sector.
The final remaining asset was the highly coveted Hornby site, covering 5.1ha. The site fronts onto Amyes Road and Branston Street, comprising seven independent buildings with a combined floor area of 14,025sq m and a large parcel of brownfields land.
Mark Macauley, General Manager of Colliers International in Christchurch, says the property had attracted strong interest from throughout New Zealand.
“We received multiple offers, highlighting the strong demand for brownfields industrial property both in sought after Hornby and the investment interest in Christchurch.
“Land developments in the area have had significant uptake and have lifted the calibre of build quality in the Sockburn/Hornby catchment. Demand is exceptionally strong in the industrial investment market with keen competition from national and local buyers, and strong syndicator interest.”
Colliers Christchurch Managing Director Hamish Doig said it was the third time they had sold the property for different vendors since 2009.
“This shows how incredibly beneficial the property has been for various owners over the past 11 years.”
A recent review of the Christchurch property market by Colliers Valuation reported that low lending margins, investors seeking a greater return than term deposit rates, and scarcity of quality stock, have fuelled extreme competition for the right assets.