Three neighbouring properties in the rapidly growing Henderson industrial precinct are being presented to the market for the first time since they were constructed in the 1970s, providing buyers with an outstanding opportunity to acquire one sought-after freehold site or all three.
16 Hickory Avenue, 26 Henderson Valley Road, and 28 Henderson Valley Road are spread across three separate titles ranging from 1,171sq m to 1,528sq m with buildings spanning 796sq m to 875 sq m.
The properties, which are all zoned Business – Light Industry Zone under the Auckland Unitary Plan, are unique given the scarcity of compact sites with stand-alone buildings and shape as a high-quality passive investment opportunity with long-term upside.
All three properties have long-term tenants who have recently committed to new leases, providing security for buyers.
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When fully tenanted the combined net annual rental income across all three properties is $351,537 plus GST.
The buildings offer high warehouse ratios and sit on a prominent corner with dual street access that experiences medium traffic flow given Henderson Valley Road serves as a key local arterial route.
Colliers Brokers Matt Prentice and Jack Tuson have been exclusively appointed to market the properties for sale by deadline private treaty, closing at 4pm on Tuesday 26 April, unless sold prior.
16 Hickory Avenue is an 809sq m office and warehouse site that is divided into four units, returning $100,879 plus GST in net annual rental income.
JC Automatic leases 203sq m of the property and began a three-year lease in June 2021 with three further rights of renewal for three years each.
Calvera leases two neighbouring units covering a total of 404sq m and began a three-year lease in November 2021 with further rights of renewal in 2024 and 2027.
Ultimate Nano Hydrographic began a two-year lease in August 2021 on 202sq m of the property and have further rights of renewal in 2023, 2025, and 2027. All tenants of the property have market rent reviews on the same date as their rights of renewal.
26 Henderson Valley Road is a highly functional 875sq m property that has undergone recent refurbishment and is home to three tenants providing $154,426 in total net annual rental income.
Henderson Valley Tyres leases 359sq m of the property, comprising a 317sq m workshop and a storeroom, and 42sq m of reception and office space, and amenities. They began a four-year lease in January with rights of renewal available in 2026 and 2030.
JC Automatic leases 371sq m of office, warehouse and workshop space on a three-year term that began in September last year with further rights of renewal in place for 2024, 2027, and 2030. The property also includes 145sq m of Level 1 office space and two car parks that has a vendor underwrite in place.
28 Henderson Valley Road is a 796sq m property with two tenants, providing $96,232 per annum in total net rental income.
Vector Systems leases 447sq m of office and warehouse space on a two-year lease that began in October 2021 with three further rights of renewal for two years each.
Ultimate Anodise leases the balance of the building, which includes warehouse, office, and amenities totalling 349sq m, on a two-year lease that began in August last year. There are further rights of renewal set for 2023, 2025, and 2027. Both tenants have market rent reviews that align with the renewal of their lease.
Prentice, Director of Industrial Sales and Leasing at Colliers, says these properties shape as a top-tier split-risk investment opportunity.
“Given the layout of the buildings and the leases in place, there is tremendous flexibility on offer for prospective purchasers who can invest in one, two, or three of these sites.”
Tuson, Investment Sales Broker at Colliers, says the site has future upside given the demand for industrial land in Auckland.
“While there are a range of tenants in place, if a buyer was to acquire all three properties there could be potential to reposition the site and create a substantial development in the future,” Tuson says.
“There will be extensive interest in these properties given they provide a strong tenant covenant in a sought-after area."
- Article supplied by Colliers
