The freehold land and buildings housing one of Auckland’s longest trading Pizza Hut outlets have been put on the market.
The global restaurant giant has been an anchor tenant for over 20 years at the site for sale at 212 West Coast Road, Glen Eden. Two smaller vacant tenancies present options for new owners and will broaden the property’s appeal among add-value investors and owner-occupiers.
Together, the three tenancies have an assessed rental income potential of over $76,000 plus outgoings and GST per annum.
Sara Retail Investments, trading as Pizza Hut, pays annual rent of $35,517 plus outgoings and GST for its foodservice premises fronting on to West Coast Road. Its current lease runs through to 2025 with a further four-year right of renewal and incorporates two-yearly market rent reviews.
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Since opening its first New Zealand restaurant in nearby New Lynn in 1974, Pizza Hut has built up a national network of around 100 stores with total revenue of over $100 million a year. Globally, it had more than 18,000 restaurants in 2019, making it the world's largest pizza chain by number of locations. Pizza Hut is a subsidiary of Yum! Brands, one of the world's biggest restaurant companies.
The two vacant tenancies front on to Glen Mall Place. These have a combined income potential estimated at $40,000 plus outgoings and GST.
The property is being marketed for sale by deadline private treaty closing on Monday 20 September (unless told prior), through Bayleys South Auckland and Bayleys Northwest.
Salespeople Tony Chaudhary, Janak Darji and Amy Weng said the property consisted of an approximately 220sq m building on some 298sq m of freehold land with eight carparks.
The building has an Initial Evaluation Procedure seismic rating of 88 per cent of new building standard.
Chaudhary said the property’s dual frontages onto West Coast Road and Glen Mall Place maximised its potential to house diversified retail tenancies within a relatively small building.
“At approximately 50sq m the two town-centre vacant tenancies are the perfect letting size in today’s marketplace. They are equipped with both brand new sink benches and separate power meters.
“Positioned within the heart of Glen Eden’s bustling shopping centre, at the intersection of West Coast and Glenview roads, the property enjoys good exposure directly opposite the Glen Eden train station,” said Chaudhary.
Currently surrounded by small convenience retail and branded tenants such as Kiwibank, NZPost, TAB and Four Square, the site for sale is part of an area identified by Auckland Council for growth and intensification.
It forms part of the Business – Town Centre zone under the Auckland Unitary Plan.
Darji said this zoning provided for a wide range of activities including residential, commercial, tourism and leisure, typically to a height of four to eight storeys.
“These height opportunities are designed to facilitate greater intensification of development, with the potential for office and residential activities at upper levels.
“Supported by this development-friendly zoning, Glen Eden town centre continues to grow and attract significant investment from investors and developers.
“The recent completion of the nearby Westlight Apartments complex has boosted the immediate catchment and increased local business patronage,” said Darji.
Weng said the high local demand for commercial property was reflected in very low vacancy rates in the area.
“This location is also supported by excellent road connections via West Coast Road, frequent bus services along Great North Road, plus the rail network accessed across the road from the site for sale at Glen Eden station.
“It’s a five-minute drive to large shopping centres in Henderson and New Lynn and, in normal traffic conditions, around 20 minutes’ drive to Auckland’s CBD,” Weng said.
-Article supplied by Bayleys
