A commercial property with a history as colourful as its promising future has hit the market in Sydenham, offering investors a unique opportunity to secure a high-profile asset with significant potential for growth.
The 2,150sqm (more or less) freehold site at 293 Colombo Street was initially built as the local fire station, and subsequently transformed into one of the city’s most infamous nightclubs in the 1980s.
Bayleys Christchurch salesperson Levi Dwan says that by the late 1990s, the property had reinvented itself once more, as a bustling strip mall, home to a variety of retail tenants that benefit from strong foot traffic and high visibility.
“Now, with a significant housing development underway next door, the property is poised for further evolution, with an influx of new residents promising to elevate the local profile, driving demand for retail services with potential implications for capital appreciation.
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“This site has been a cornerstone of the Sydenham community through every one of its transformations, and with the upcoming residential development, it’s set to become a crucial amenity hub, offering incredible potential for investors.”
Dwan is marketing the property for sale by negotiation with Bayleys colleague Nick O’Styke.
The property comprises 757sqm (more or less) of net lettable area with 30 on-site car parks and seven fully occupied tenancies, generating a net income of approximately $227,775 per annum.
Bayleys Christchurch salesperson Nick O’Styke says the Commercial Core zoned property offers a stable income stream with room for future growth, particularly in proximity to the significant residential development underway just behind the site.
“With construction of between 70 and 80 new dwellings set to boost demand for goods and services, the already thriving retail hub is poised to service a growing population with greater foot traffic and service demand.
“This is an exceptional investment opportunity in one of Christchurch’s most enduring commercial locations. Sydenham has seen considerable regeneration in recent years, and the ongoing residential development will likely enhance the property’s value and income potential.”
O’Styke says that recent upgrades to the property, including new landscaping, a refurbished parking area, and modern fire systems, have improved functionality but also strategic appeal to tenants.
“These enhancements, coupled with the property’s strategic location on Colombo Street – one of Christchurch’s busiest streets with exposure to approximately 16,500 passing vehicles daily – underscores its long-term investment potential.”
The property is anchored by various tenants, including a café, a barber shop, an international fast-food chain, a gymnasium, and an IT service provider, all secured under long-term leases with regular rent reviews.
The brokers note current leases provide a stable income stream, with staggered lease expirations to minimise vacancy risk and allow flexibility for future development or repositioning of the site.
“The well-maintained premises offer street frontage and easy access, ensuring consistent foot traffic and visibility. Given its prime location, solid tenant mix, and the added benefit of nearby residential growth, the subject property stands out as a unique opportunity for investors seeking a foothold in Christchurch’s dynamic commercial market.
“It is expected to attract significant interest, appealing to local and national investors looking to capitalise on the continued growth of Sydenham as a key commercial precinct whilst playing a role in the next chapter of this unique property’s evolution,” they say.
- Supplied by Bayleys
