A prominent office building in the growth corridor of Ellerslie shapes as an attractive purchasing opportunity for buyers that are looking to acquire a high-quality asset with substantial rental income and long-term upside.
The Agility CIS Tower is located at 56 Cawley Street in Ellerslie and offers 5,538sq m of total floor space on a significant mixed-use landholding of 4,167sq m.
The building has undergone extensive refurbishments and has a modern feel, while offering huge profile to State Highway 1 and Ellerslie. There are 148 dedicated on-site car parks with access to a further 41 car parks.
Key tenants include Agility CIS, Honeywell, Edge Interiors, and Sanofi, and the total passing annual income from the property, including underwrites, is $2,098,537. The weighted average lease expiry for the property will be just over three years as at 1 December 2021.
Colliers Directors Gareth Fraser, Blair Peterken, Charlie Oscroft, and Peter Herdson have been exclusively appointed to market the property for sale by deadline private treaty closing at 4pm on Wednesday 24 November, unless sold prior.
Fraser, Director of Investment Sales at Colliers, says Covid-19 has transformed the way occupiers view and occupy space, with flexibility, functionality, accessibility, and quality the paramount considerations.
“This is a user-friendly facility and one of the top-tier office buildings in the area. Ellerslie remains a highly desirable location for occupants given its proximity to State Highway 1 and the nearby public transport networks, including bus and train services,” Fraser says.
“Ellerslie has experienced tremendous growth in the past few years and this property is well-served by the amenities in the area. There’s a range of cafes, restaurants, and bars in the affluent Ellerslie shopping village.”
The 11-storey building, originally constructed in the 1980s, has undergone a major refurbishment programme which commenced in 2015 and provides 10 levels of office space and one level of basement parking.
Peterken, Director of Capital Markets at Colliers, says the recent refurbishments included updating the external facades, filling in decks, and adding an additional floor.
“This is a highly functional office building that offers excellent natural light due its size, and lack of neighbouring towers, while the floors benefit from views over Mount Eden, Mount Wellington, and One Tree Hill,” Peterken says.
“Each level of the building provides a kitchenette, and male and female toilets, while there are showers on four levels. The property also includes an automatic sprinkler system, automatic doors, emergency lighting systems, and passenger lifts.”
Cawley Street offers convenient accessibility given it runs off Main Highway, which is one of the main arterial routes in Ellerslie. Auckland’s CBD is only eight minutes away, while it is 16km to Auckland Airport.
The property is zoned Business – Mixed Use Zone, which is typically located around centres and along corridors served by public transport. The zone provides for residential activity as well as predominantly smaller scale commercial activity that does not cumulatively affect the function, role, and amenity of centres.
Oscroft, Director of Investment Sales at Colliers, says the property’s flexible zoning provides potential for the future.
“Mixed-use zoning remains highly sought-after among buyers given the regulatory flexibility on offer and the potential to add further value in the future. The new owners will have the opportunity to scope any potential plans on how to reposition the property in the long term for a range of different uses, if desired, including residential use,” Oscroft says.
“Ellerslie has multiple childcare facilities and schools nearby and is an incredibly popular suburban area.”
Herdson, National Director of Capital Markets at Colliers, says when you consider all of the pertinent factors, this property shapes as an exceptional purchasing opportunity.
“The property provides a steady rental stream in a modern, high-quality building in one of Auckland’s most sought-after suburbs that has future growth potential,” Herdson says.
“We expect there will be significant interest in this property, and we encourage all prospective buyers to do their due diligence and contact us immediately.”