Long-term lease to NZ’s largest domain name and web hosting provider
A secure datacentre property leased to New Zealand’s largest domain name and web hosting company is for sale by auction through Colliers International.
The stratum property at 30b Arrenway Drive in Albany, Auckland, will be auctioned at Colliers International’s North Shore office at 11am on Tuesday, 5 December, unless sold earlier.
Marketing brokers Ryan de Zwart and Matt Prentice say it is an exceptional opportunity to secure a prime industrial asset with significant tenant investment into the building’s infrastructure.
“The property is occupied by established web services company Umbrellar, which has undertaken significant work to create two secure, temperature-controlled datacentre rooms on site,” says de Zwart.
“This highly functional, modern industrial building is part of a two-unit development on popular Arrenway Drive – part of the North Shore’s highly sought-after Albany Heights Business Park.
“Quality medium size units like this are rarely offered to the open market, especially in such a tightly held location, so serious investors will not want to miss this auction.”
The property has a net lettable area of 365sq m, excluding a 200sq m mezzanine covering the datacentres.
It comprises 122sq m of office space over two levels, 243sq m of warehousing, which incorporates the datacentres, and six on-site car parks.
A three-year lease to Arrenway Infrastructure Limited, which amalgamated with Umbrellar Limited in 2015, returns $80,000 per annum plus GST.
Five three-year rights of renewal extend the total lease period to November 2031.
Rental growth is locked in, with fixed rental increases indexed to CPI on renewal.
Prentice says the property is well located on Arrenway Drive, which links Apollo Drive to Triton Drive.
“Apollo Drive is the principal thoroughfare linking Rosedale Road and Constellation Drive, giving the property excellent accessibility to the wider North Shore area,” he says.
“The Northern Motorway is easily accessed via the Greville Road interchange to the north or the Upper Harbour Highway interchange to the south.
“Recent road improvements mean the travel time to the city is about 15 minutes outside of peak.”
Zoned General Business, the property is part of the Albany Heights Business Park, which benefits from low vacancy rates.
“Albany Heights/Mairangi Bay Industrial Park is predominantly made up of good to superior quality office and warehouse properties, together with ancillary office and retail developments, most of which were built in the late 1990s and early 2000s,” Prentice says.
“With easy access to motorway interchanges, this property's location is sought after by national and multinational tenants.”
Nearby neighbours include 3M, Rex Bionics, Wallace Cotton, Douglas Johnson, Anzor Fasteners, High-tech Packaging and Penguin Books, among others.
The Albany Heights Business Park is part of the wider Mairangi Bay Industrial Estate – a relatively new, yet established industrial subdivision.
The estate enjoys a central position in relation to the surrounding and expanding North Shore urban areas.
The broader area is home to the Westfield Albany shopping centre, Event Cinema complex, QBE Stadium, Massey University, and a good range of cafes, restaurants, bars, gyms, and diverse businesses.
Tenant Umbrellar is New Zealand’s largest domain name and web hosting company, with 75,000 customers and more than 255,000 registered domain names.
The Arrenway Drive property is among its four data centres.
Umbrellar’s full-service offering includes cloud hosting, web hosting, domain name management, infrastructure builds, hardware housing, managed hosting, and data backups.
Its services are utilised by small businesses, marketing agencies, web specialists, and large corporate enterprises across New Zealand, Australia and Asia.
The company, dating back to 1997, was formed from the amalgamation of 10 New Zealand domain name and web hosting brands including Digiweb and Web Drive.
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