A stellar property with a new 11-year lease to one of New Zealand’s top household food brands is set to go under the hammer on 10 July.
Situated close to Lyttelton Port in the suburb of Hillsborough, 238 Port Hills Road is being marketed by Paul Marshall and Hamish Doig of Colliers Christchurch.
It comprises a 2,463sq m building, purpose-built for the French Bakery in 2006, on a 5,346sq m site.
The long-established tenant has just signed a new lease with further rights of renewal.
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“You can’t get a tenant any better than this. French Bakery is one of the country’s most enduring brands and continues to go from strength to strength.
"They already have a long track record with this property and are set to be here for many years to come,” Marshall says.
He says the offering typifies the sort of property that investors are seeking – a high-quality tenant with a demonstrated long-term commitment to the site, and a strategic location.
“This is an impeccable high-yielding investment with superb visibility, high traffic exposure and with easy access to key commercial and industrial areas.
“The industrial investment market remains extremely strong.
"We’re seeing high demand for quality properties with excellent tenant covenants such as this.
"Two of our recent industrial auctions were brought forward because of early offers on respective properties. One was sold within a week while the other sold under the hammer in lively bidding.”
French Bakery was seen as a revolutionary new bread and pastry store when it was established by Warner Barber back in 1978 in Hereford Street, Christchurch.
As its popularity grew, French Bakery moved to bigger premises in the 1980s and subsequently diversified into baking wholesale for the frozen food market.
Today the 46-year-old brand is run by Warner’s son, Gary and wife Lee, who have continued to expand the business.
The facility operates around the clock, employs more than 130 staff and produces 100 fresh and frozen goods for retailers and supermarkets across New Zealand.
Meanwhile, the location of Hillsborough is a growing industrial area, popular because of its proximity to main arterial traffic routes, Lyttelton Port, and the central city.
The suburb is home to Portlink Industrial Park, which houses the likes of the Online Distribution logistics facility, Elastomer Products, Kathmandu Distribution Centre, and New Zealand Express.
- Supplied by Colliers
