A trophy industrial investment property, offering exceptional tenant covenant from a long-established manufacturing business, is for sale in the fast-growing Silverdale area of Auckland.
Located in the heart of the Silverdale Industrial Estate, 2 David McCathie Place comprises a modern 1,985sq m facility on 3,193sq m freehold site with sought-after Heavy Industry zoning.
Well over four years remain on the current lease to a New Zealand-owned aluminium joinery business that has occupied the property since its construction in 2007.
The lease returns $333,000 plus GST in net annual rent, with final expiry in December 2030.
Colliers International has been exclusively appointed to market the property for sale by deadline private treaty closing at 4pm on Wednesday 26 August, unless it is sold earlier.
“This superb offering is sure to appeal to astute investors looking for a bankable standalone industrial investment.
“It comprises a functional and flexible industrial building with an A-grade seismic rating, a large warehouse with potential to be split, two levels of offices, a showroom, lunch bar and ample basement car parking.
“It is strategically positioned on a high-profile corner site with 45 car parks in one of Auckland’s highest growth locations.
“Silverdale benefits from a surging population in the surrounding area, with most of Millwater’s 3,500 sites having been developed, while activity in Milldale is full steam ahead.
“The strength of this growth location is matched by the property’s very strong tenant covenant.
“The current tenant has 35 years of experience and is now one of the largest aluminium joinery manufacturers in Auckland. The award-winning company produces custom-made windows and doors to exacting specifications, using precision electronic cutting and machining equipment.
“When you consider this property’s location, covenant and profile, it all adds up to a true trophy investment.”
Matt Prentice, Director of Colliers North Shore, says the property is well positioned to provide access from both David McCathie Place and Forge Road.
“Primary access to the warehouse is via two roller doors from Forge Road, which extends west off Silverdale’s main arterial, East Coast Road, and is considered one of the main thoroughfares of the Silverdale Industrial Estate.
“The western half of the warehouse also offers full drive-through access for heavy vehicles.
“Rear access to the warehouse is provided from David McCathie Road via a ramped accessway and stepped loading bay.”
Prentice says the warehouse is predominantly constructed of full-height precast concrete, with strengthened structural beams to accommodate a gantry crane.
“There are two roller doors on the northern side of the building, providing the potential for the building to be divided into two separate tenancies, each with a warehouse and an office component.”
Prentice says the offices span two levels in the northwestern corner of the building, with a reception and accessible bathroom on the ground floor.
The first-floor offices are predominantly open plan, with flush windows overlooking the surroundings and providing good natural light.
There is partitioning for two offices and a boardroom at the northern end, and a control office overlooking the warehouse at the southern end.
The first floor also has a lunch area with a bench and sink, a barbecue area, separate male and female bathrooms, and a shower.
A further open plan office level, used as a showroom, is located at the northeastern end, with access from the main visitor car park fronting Forge Road.
The area has excellent natural light and its own kitchenette, shower and two further bathrooms.
The lunch bar, sublet by the tenant, is located at the front of the building.
The basement garage provides 16 covered car parks accessed from David McCathie Place via a single electronic roller door.
It has a full exhaust extraction system, a small plant room containing compressor equipment for the main warehouse, and wiring for a generator if required.
The building features remotely controllable security including CCTV and a full network of biometric key systems, divided into sections with individual access controls.
Broker Jack Tuson of Colliers North Shore says the Silverdale Industrial Estate is considered the principal industrial estate on the Hibiscus Coast.
“It continues to remain popular, with limited competition from much smaller industrial areas in Whangaparāoa and the Highgate Business Park, which is in the early stages of its development.
“Land here is zoned for light to heavy industrial activities, and the limited supply of such land in Silverdale emphasises the importance of the area as a key industrial business location.
“The location is easily accessible, with a travel time to Auckland’s CBD of about 25 minutes. The area is well serviced by public transport with the Hibiscus Coast bus station and park and ride facility close by.
“The immediate area is occupied by industrial businesses including importers and distributors, manufacturers, automotive and service businesses and some yard users.
“Commercial buildings catering to predominately bulk retail activities are also in the vicinity including PlaceMakers, Bunnings, Pak’N’Save and Kings Plant Barn.
“Across East Coast Road is a substantial area of residential development, providing a strong workforce catchment.
“The ongoing popularity and growth of this location makes 2 David McCathie Place a compelling investment opportunity.”