Split-risk investment on prime corner site north of central Auckland
A strategic corner site for sale in fast-growing Silverdale offers investors a split-risk holding income and future mixed use development potential.
The freehold 4,501sq m site, spanning four titles at 4-8 Agency Lane and 15-19 Silverdale Street, is being marketed for sale by sole agency Colliers International.
Offers by deadline private treaty close at 4pm on Wednesday, 16 August unless sold prior.
Shoneet Chand of Colliers International, who is marketing the property with colleagues Matt Prentice and Josh Coburn, says it ticks all the boxes.
“Strategically positioned within tightly held Silverdale Village, this property offers substantial rental returns, immediate value-add potential, and the opportunity to significantly redevelop the site in the future,” he says.
“Silverdale is one of the fastest-growing areas of New Zealand, with significant commercial development and thousands of new homes being built or planned nearby.
“This property’s zoning under the Auckland Unitary Plan will allow for a mix of residential and commercial activities up to 18m in height, making it a superb investment in a growth area.”
Chand says the property currently returns a substantial holding income from seven tenancies.
“Only 20 per cent of the site is currently built, allowing active investors to immediately develop underutilised parts of the site for higher value uses.”
Prentice says the corner property, superbly located in the heart of Silverdale, offers more than 140m of street frontage on Silverdale Street and Agency Lane.
“It is ideally located on Silverdale Street, the township’s main retail strip, just metres from the intersection with the Hibiscus Coast Highway,” he says.
The property comprises four buildings with a net lettable area of 936sq m and 1,908sq m of yard.
“Three retail tenants have frontages on Silverdale Street, which boasts a number of council-owned kerbside angle car parks,” Prentice says.
House of Floors and Raw Essentials occupy 228sq m and 235sq m respectively in a commercial building dating to the 1990s, while a standalone 153sq m converted cottage is leased to Mr T Cafe.
“A further two retail tenancies front Agency Lane, which also offers kerbside angle parking,” Prentice says.
Trenz Kitchens occupies a 140sq m tenancy, while the adjoining 180sq m retail unit will be available for lease from 1 August.
Two industrial tenants – Silverdale Marine and Pacific Gladstone – occupy tenancies on Agency Lane of 1,300sq m and 608sq m respectively.
The property is zoned Business Town Centre under the operative Unitary Plan. This provides for a range of activities including commercial, leisure, residential, tourist, cultural, community and civic services, with a focus on commercial activities and growth.
Coburn says Silverdale is poised to benefit from substantial population growth, driven by large-scale housing developments and Aucklanders making the lifestyle move north.
“Silverdale will be the Hibiscus Coast’s commercial hub, and a number of national retailers are already setting up shop,” he says.
“The Millwater housing development and the soon-to-be-completed Silverdale Mall will bring more residents and spending to the area. Silverdale really is on the up and up.”
The Millwater development, north of Silverdale, will be home to about 3000 sections, housing more than 10,000 residents. Associated local developments include schools, medical centres and recreational facilities.
The primary catchment population is also growing, with 57 per cent growth forecast between 2011 and 2031. An estimated 140,000 people are expected to move into the former Rodney area – a growth rate faster than the adjacent North Shore and the overall Auckland region.
Coburn says several new major retailers have recently opened in the area including Pak’n Save and Bunnings. Other national retailers are established at the nearby Silverdale Centre including The Warehouse, Countdown, Noel Leeming, Supercheap Auto, Warehouse Stationery and ANZ.
“The nearby Silverdale Mall is due to open at the end of the year, cementing Silverdale as the commercial hub of the Hibiscus Coast.”
Coburn says recent considerable government expenditure on roading and infrastructure has effectively brought the Hibiscus Coast to within a 30-minute drive of the Auckland CBD.
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