A landmark city centre building billed as the best retail property investment in Whanganui is up for sale with long term leases to New Zealand’s biggest bank and a leading bookseller.
The standout corner premises housing an ANZ bank branch and Whitcoulls bookstore enjoy exceptional main-street exposure on Victoria Avenue in the heart of the city centre.
The more than 1,500-square-metre site generates a total net rental income of $418,577 plus the majority of outgoings and GST per annum.
With around 9,000 employees and branches across New Zealand, ANZ is one of the country’s largest companies based on profit and assets. Nearly one in two Kiwis have a banking relationship with one of the company’s brands. ANZ finances around a third of all Kiwi home loans and is New Zealand’s largest rural banker with a market share of 39 percent.
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ANZ pays an annual net rent of $250,000 plus outgoings and GST for its approximately 476-square-metre Victoria Avenue branch premises with 10 car parks. The lease runs through to 2028 with a market rent review due in 2025.
Alongside it, Whitcoulls occupies its approximately 425-square-metre premises on a current lease which extends to 2027 with a further six-year right of renewal. The lease generates a net rental return of $168,577 plus outgoings and GST per annum, with market rent reviews due in 2027 and 2030.
With origins dating to the late 1800s, Whitcoulls is an iconic New Zealand retailer of books, stationery, gifts, games and toys. Formerly known as Whitcombe & Tombs, it has around 55 stores nationally. Whitcoulls is New Zealand-owned by the James Pascoe Group which also includes The Farmers Trading Co, Stevens, Pascoes the Jewellers, Stewart Dawsons and Goldmark.
The freehold land and buildings at 101-105 Victoria Avenue, Whanganui, are being marketed for sale through Karl Cameron, Angus Findlay and John Bartley of Bayleys Real Estate.
The property will go under the hammer at an auction on Wednesday 25 October 2023, unless it is sold prior.
Cameron said the approximately 900-square-metre building sat on some 1,531 square metres of commercial-zoned land, with 22 rear car parks for staff and customers.
“Completed in 2009, the well-constructed building has a seismic rating of 100 percent of new building standard.
“With the two first-class tenants in occupation since the building was completed 14 years ago, this property has an exceptional tenant history. The tenant covenants are outstanding with the outgoings being paid by the tenants,” said Cameron.
Findlay said a “second-to-none” main-street location offered the building and its occupiers unrivalled exposure to passing vehicle and foot traffic.
“Positioned superbly on the corner of Victoria Avenue and Maria Place, this property's presence is unmatched within the CBD. This visibility and accessibility in the very heart of the central city underpins the site’s appeal for two tenants who are among the biggest names to be found in any town centre,” said Findlay.
Bartley said Victoria Avenue accommodated a lively mix of national tenants and local businesses.
The thoroughfare is lined with shops, restaurants, cafes, and bars and is home to numerous historical buildings including the Sarjeant Gallery, Wanganui Museum and Old Bank Arcade.
“Development in the area includes traditional strip retail, large format retail and other major banking tenants. Recent development of the Whanganui CBD has further enhanced the prime retailing environment which is evident through minimal vacancy in the surrounding stores.
“If you are looking for quality, this property would be very hard to beat,” Bartley said.
- Article supplied by Bayleys
