The last year has brought about an upheaval unparalleled in living memory and nobody could have foreseen the challenges that faced both the global and local markets as a consequence of the Covid-19 pandemic, says John Urlich, Commercial Manager at Barfoot & Thompson.
However, Urlich believes that the outlook remains highly optimistic, “Global recovery is likely and the international markets are signalling an upsurge of unprecedented growth this year,” he says.
Writing in the foreword of the agency’s newly-released Insite Portfolio, Urlich trusts that this new financial year will be a lot more predictable than the last.
“The fundamentals of the commercial market continue to remain strong, but challenges remain as to the highest and best use of property,” he says, “However, we are truly optimistic about the outlook for Auckland property and this is as positive a time as any for an investor or occupier to grow their portfolio.”
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About 24 properties are displayed within the first Insite portfolio for 2021, from Manukau Heads to Whangaparaoa, including 10 properties for sale by deadline private treaty, one for Auction, 12 for sale by negotiation and one property for lease.
One of the featured offerings is a large strategic corner site situated in Onehunga at 263 Mt Smart Road. Melissa He of the City Commercial office, along with Stephen Chang of the Greenlane residential office, is marketing this property for sale by deadline private treaty, closing 4pm, Thursday June 16 at Level 3, 50 Kitchener St, Auckland, unless it sells prior.
“On the corner of Mt Smart Road and Felix Street, this site offers multiple options,” says He. “Benefiting from the adjacent residential catchment as well as the surrounding Onehunga Industrial precinct, it is a multi-tenanted security with the potential for an investor to reposition the asset over the medium term.
“It is in an absolute prime position in terms of fringe city commercial property and located right between Auckland CBD and Auckland International Airport,” she says. “Te Papapa and Penrose train stations are both within walking distance as well.”
Located on the southern side of Mt Smart Road, the 1,315sq m freehold site is held in two titles and includes six dedicated car parks with additional customer parking at the front.
“The improvements comprise three standalone single storey buildings with a total gross floor area of approximately 737m²,” He says. “They have a combined current holding income of $176,149 net per annum from multiple tenancies.”
Surrounding developments include medium to heavy industrial, retail and residential, and 263 Mt Smart Road is approximately 4km from the SH20 on/off ramps and SH1 access is just 3km away. Recent significant infrastructure projects have had a positive impact on Onehunga; specifically the Waterview tunnel which has dramatically improved the access to Auckland's western suburbs.
“The property is zoned Business - Light Industry, which differentiates from Heavy industrial as it doesn’t allow for objectionable odour, dust or noise due to it’s closer proximity to residential catchments,” He says.
Also for sale by deadline private treaty, closing at 2pm on Wednesday, June 16, is Unit 2G, 4-6 Kingdon Street, Newmarket, which is being marketed by Reese Barragar of Barfoot & Thompson commercial.
“This is a premium investment opportunity and has a strong tenant covenant,” says Barragar.
The 204sq m freehold office is anchored by a longstanding company returning $61,200 net per annum plus GST with fixed rental growth. “This blue chip asset is supported by a six month rental bond, 2% annual increases and has a favourable earthquake report at 100% NBS,” he says.
Situated in a vibrant Newmarket location, the site is close to all local amenities including the new Westfield shopping centre, Osborne Lane and the Newmarket Train Station. “Kingdon Street is in close proximity to several major arterials,” he says “It’s a 10-minute drive to Auckland CBD and there is quick access to motorway on and off ramps for States Highway 1 and State Highway 16.”
Zoned Business – Metropolitan Centre, it provides for a wide range of activities including commercial, leisure, and high density residential.
“Overall, this is an attractive proposition to secure a bottom-drawer investment with rental upside in a strong and emerging Newmarket location,” he says.
In Ponsonby, Barragar is marketing another property for sale by deadline private treaty, closing 2pm, Thursday June 17.
“This near new ground floor unit at 1B/1 Vinegar Lane is immaculately presented,” he says. The 258sq m freehold showroom is open plan with polished concrete floors, high ceilings, floor to ceiling glazing and excellent natural light and also includes two car parks.
Currently returning $158,320 net per annum from a flexible and well established tenant, the strategic corner Mixed Use zoned property benefits from its close proximity to the affluent nearby residential catchments.
Barragar says this is an ideal opportunity for a strategic investor or occupier buyer. “With Ponsonby Road and a great café right on your doorstep, this is a property that must be added to your portfolio."
