The Terrace Junction office and retail complex in Frankton, Queenstown has been placed on the market for sale at a time when the resort town’s property market is in an extended period of growth.
The property, on the Frankton roundabout at 1088-1092 Frankton Road, is being marketed for sale by Colliers Brokers Mark Simpson and Rory O’Donnell. The deadline date for offers is on or prior to 17 March 2022.
The multi-tenanted complex opened in 2009 on a high-profile site adjacent to the BP station on the main arterial route into Queenstown.
“This is a very strategic asset offering buyers a sought-after diversified income stream from multiple office, medical, retail and car park tenancies,” Simpson says.
“The property enjoys exceptional exposure from State Highway 6 and Frankton Road, which captures the largest proportion of traffic north/south and through to central Queenstown and will be considered a trophy asset among buyers.”
The two-level, 6,175sq m complex is anchored by Westpac and Burger King, both of which were founding tenants in the development. The complex is fully occupied bar one 29.50sq m tenancy across circa 40 tenants generating total current annual net income in excess of $1,545,804 per annum plus GST and outgoings.
“This is a unique opportunity to acquire a quality, diverse commercial asset in the high-growth and tightly-held Queenstown market,” Simpson says.
“Owners rarely let go of larger commercial properties in Queenstown, so for buyers looking to enter the Queenstown commercial market, this is a great option. The location is highly strategic, with the Frankton area already developed into a major commercial hub for the Queenstown Lakes and wider Central Otago region.”
O’Donnell says: “The complex is made up of two buildings with lift access to a basement car park across two separate freehold titles. It has a total land area of 8,752sq m. The shared entrance with BP, which is the busiest service station in Queenstown, gives the complex an exceptionally high profile.
“High demand and restricted supply are continuing to characterise all sectors of the Queenstown commercial property market. We expect these conditions to continue into the medium term.”
The location means the complex also conveniently serves nearby residential areas, including Shotover Country, Quail Rise, Jacks Point, Lake Hayes Estate and Frankton, as well as large numbers of airport passengers.