Brokers say four brand new tenanted freehold units for sale in one of Auckland’s most sought after retail precincts offer an excellent chance for investors or family trusts to secure strong long-term assets.
Colliers International brokers Shoneet Chand, Peter Kermode and Craig Smith are marketing units A5, A7, B3 and B5 at 301-307 Lincoln Road, Henderson. The properties are for sale individually by auction on 20 October 2016 and offer a mixed range of investment returns to choose from.
”The strong tenant covenants make these deals extremely desirable which are complemented by their prime location and detailed design of the overall development,” says Chand.
Mexicali Fresh are opening their 17th national restaurant at this address, committing to an 8-year lease with two further rights of renewal of 6 years each, and returning $96,000 per annum net plus GST. Flame Pizza who currently operate stores in Hobsonville Point and Botany Downs, have signed an 8-year lease with two further rights of renewal of 4 years each, returning $43,670 per annum net plus GST.
Mark Anthony Hair Design, which boasts more than 29 years’ experience, are currently enjoying their increased presence within this development servicing their already strong and loyal clientele base following their relocation from the Lincoln North Centre. Mark Anthony Hair Design have secured a new 6-year lease with two further rights of renewal of 3 years each, returning $39,480 per annum plus GST.
Yu Tea which offers a range of teas, Taiwanese food and deserts have secured the site on a new -year lease with two further rights of renewal of 4 years each, returning $60,325 per annum net plus GST.
“The units were originally built to keep by the vendors so no expense has been spared, ensuring the property has been built to a very high standard. This site has one of the most accessible routes to State highway 16, only 600m from the North Western Motorway interchange,” says Smith.
“Two of the key drawcards to this development is the dual entry and exit points and the very generous on site car parking,” Kermode adds.
“The development occupies one of the proudest road frontages to Lincoln Road and boasts prominent signage opportunities and exposure to a substantial 45,000 passing cars a day,” Smith points out.
Brokers say the property is virtually a “completely passive investment” as it is externally managed by Centurion Management Services. “The property is built to having previously been located at the Lincoln North Centre and current building standards which will be important for the banks when considering lending and will satisfy their stringent criteria,” says Chand.
“High quality construction also means the structure will last longer, involve lower maintenance and is generally hassle free,” he adds.
The units are positioned within close proximity to the Lincoln North shopping centre, approximately 1km away along with the newly constructed NorthWest shopping mall and 5kms away to the north at Westgate.
“Four major Special Housing Areas on Fred Taylor Drive, only a 10 minute ride away, are planned to house nearly 4,000 new dwellings in the next 10 years. If you think of that within the geographical context of Henderson, it is a major transformation,” Smith says.
Lincoln Road is a four lane major feeder route which runs from Swanson Road in the south and terminates at the North Western Motorway. It is a primary link between Henderson Town Centre and surrounding suburbs, and home to a mix of local and national bulk and convenience retail centres interspersed with general commercial premises and residential dwellings.
“Lincoln Road is one of the most popular and sought after destinations in Auckland amongst retailers looking to take advantage of the high passing traffic and proximity to the dense surrounding residential neighbourhoods,” Kermode says.
With major upgrades to the North Western motorway currently underway and the anticipated completion of the Western Ring Route in 2017, accessibility to and from the site from surrounding suburbs are set to improve significantly.
“West Auckland is the city’s fastest growing area for the next 30 years and is expected to house around 30,000 new dwellings and the creation of about 13,300 new jobs, all of which make developments such as this in extremely high in demand,” Smith adds.