A strategically located freehold property in the heart of Newmarket is for sale with abundant mixed-use redevelopment potential and holding income.
Situated by the recently expanded Westfield Newmarket, the property at 3-5 Gillies Avenue provides 1,926sq m of flat, rectangular land on the border of Newmarket’s retail and office precincts.
It is occupied by a single-level, clear-span building with a mezzanine office along with 23 off-street car parks.
The 1,245sq m building is for sale with an existing restaurant lease and additional potential holding income from the space to be vacated by the vendor.
Newmarket property specialist David Burley, an Associate Director of Colliers International’s Auckland Investment Sales team, is marketing the property with Director Tony Allsop.
Burley says it is an exceptional opportunity for developers, land-bankers and value-add investors to own a prime piece of Newmarket real estate.
“The property’s size, location and zoning are unrivalled in the market and amount to an offering that cannot be ignored.
“It is uniquely positioned on the border of Newmarket’s retail and office precincts, with good access to the motorway network, two train stations, multiple bus routes and surrounding amenities.
"In recent years, Newmarket has emerged as one of Auckland’s most desirable city fringe office locations. It has long been an upmarket retail hub, while the location and zoning also make it an attractive proposition for residential development.
“The property for sale is zoned Business Mixed Use with a 27m height control, allowing for multiple redevelopment options including office, retail, residential and accommodation.
“It is situated within the coveted double Grammar school zone, right next door to the newly renovated Newmarket School, a short walk to the University of Auckland’s Newmarket and Grafton campuses, and close to some of Auckland’s most prestigious private schools.
“With amenity, transport and schooling right on its doorstep, the property is ideally suited to a mixed-use redevelopment with ground floor retail and residential or office space above.”
Colliers International is marketing 3-5 Gillies Avenue for sale by deadline private treaty closing at 4pm on Wednesday 25 November, unless it is sold prior.
The main 912sq m retail tenancy is currently occupied by the owner, PetStop, which intends to vacate the premises and relocate the business upon completion of the sale.
The smaller 230sq m tenancy is occupied by Grand Hot Pot Restaurant, returning $85,000 plus GST and outgoings in annual holding income.
The vendor will consider a short-term leaseback of the PetStop space, which could provide additional holding income until a new occupier is secured.
Allsop says the property is well located within walking distance of everything Newmarket has to offer including retail, hospitality, cafes and gyms.
“The property is close to several State Highway 1 motorway on-ramps, including northbound at Gillies Ave and southbound at Khyber Pass and St Mark’s Roads.
“It is also within walking distance of two train stations, at Newmarket and Grafton, as well as major bus routes along Gillies Ave, Broadway and Khyber Pass.
“The property’s immediate vicinity has benefited from a recent resurgence of commercial growth. This includes the large, recently completed office development at 33 Broadway and the planned office developments at 47 and 49 George Street and 108 Carlton Gore Road.
“These developments will bring more vibrancy to Newmarket’s thriving commercial precinct, which already include recognisable national and international businesses including Mercury, Vector, Tegel, Roche, Watercare and Westfield.”
The property’s improvements were originally constructed in the 1950s. The building has subsequently been substantially extended and refurbished.
Allsop says utilising the existing improvements could provide critical time and cost efficiencies to a range of end use options.
“A new owner could hold and re-lease the existing space; undertake a comprehensive upgrade and refurbishment programme to generate rental uplift; or completely redevelop the site.”