A fully leased multi-level office complex anchored by a top energy company and an associated car park have gone up for sale in the heart of Whakatane’s town centre.
With a total landholding of more than 2700sq m, the offering consists of two properties on separate freehold titles: a prominent four-storey complex known as the Commercial Plaza, and a 30-bay car park across the road.
Positioned on the high-profile corner of Commerce and Pyne streets, the Commercial Plaza houses major corporate tenants Nova Energy, Bay of Plenty District Health Board and electricity lines company Horizon Energy Distribution Ltd.
The site generates total net annual rental income of some $570,935 plus outgoings and GST.
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Anchor tenant Todd Management Services, trading as Nova, is a Kiwi-owned supplier of electricity, natural gas, broadband and phone services with household and business customers across New Zealand. The company forms part of corporate giant the Todd Corporation, one of the country's leading energy explorers and producers, with a history dating back to 1884.
The company pays net annual rent of $304,832 plus outgoings and GST for its 1764sq m of A-grade office accommodation, technical workshop and retail premises on the ground and mezzanine floors, plus 12 car parks.
Its current lease runs through to 2024 with two further six-year rights of renewal and incorporates two-yearly CPI rent reviews.
Bay of Plenty District Health Board occupies level 2 and part of level 3 comprising an area of approximately 833sq m plus 10 car parks.
The current lease runs through to December 2024 with two further four-year rights of renewal and a final expiry date of December 2032.
The annual net rental is $124,460 plus outgoings and GST with two yearly rent reviews alternating between market and CPI.
Horizon Energy Distribution occupies part of level 3 and level 4 comprising an area of approximately 802sq m plus 13 car parks.
The current lease expires November 2026 and has an annual net rental of $150,763 plus outgoings and GST with two yearly rent reviews to CPI.
The Commercial Plaza property at 42-52 Commerce Street and the carpark at 5 Pyne Street, Whakatane, are being marketed for sale by deadline private treaty closing on Friday 11 March (unless sold prior), through Bayleys Tauranga and Bayleys Whakatane.
Salespeople Brendon Bradley and Larissa Reid said the Commercial Plaza complex offered a lettable floor area of some 3400sq m on a 2036sq m site while the carpark property had an area of approximately 669sq m.
“The Commercial Plaza comprises three adjoining commercial buildings that were originally constructed in the mid-1960s, with an upper floor added to the southern building around 2002. The buildings have had their interconnecting walls removed, effectively creating a single four-level structure,” said Bradley.
The complex was seismically strengthened around 2015 and has an A-grade Initial Evaluation Procedure rating of 80 per cent of new building standard.
The site includes a small parking area centrally positioned on the western boundary.
“The Commercial Plaza is positioned off the northwestern corner of Commerce and Pyne streets with nearly 50m of frontage to Commerce Street, one of the main traffic routes into Whakatane’s town centre. This assures the site of prominent exposure to significant vehicle and foot traffic.
“The fully sealed rectangular lot at 5 Pyne Street contains 20 security-fenced car parks, plus a further 10 spaces. This property complements the Commercial Plaza as a convenient location for much of the car parking for tenants,” said Bradley.
The properties for sale sit within the Business Centre zone under Whakatane’s district plan.
Reid said this provided for a concentration of various business activities and high-quality amenities in the town’s main shopping hub.
The sites’ existing uses for office accommodation and parking were permitted activities within this zone, she said.
“The immediate vicinity is home to a vibrant mix of business uses. These range from offices and retail shopping to light industrial service-type businesses such as automotive garages, car sales and franchise dealers, as well as the Whakatane District Council offices.
“On the opposite side of Commerce Street is a property purpose-built for Farmlands, Warehouse Stationery and Guthrie Bowron. Further to the south is a Countdown Supermarket, a two-storey office building, and a health service run by the Bay of Plenty District Health Board,” Reid said.
-Article supplied by Bayleys
