One of the last remaining industrial sites unscathed by significant flooding in Hawke’s Bay has been placed on the market for sale.
The freehold landholding on 9.1ha (more or less) at 73 Irongate Road is offered to the market with three attractive purchase options well-suited to investors and large-scale occupiers wishing to take advantage of underlying development fundamentals.
Bayleys Havelock North salesperson Rollo Vavasour says the property is ideally positioned within the Irongate industrial hub, an emerging area southwest of the city, undergoing substantial development and growth.
“Proximate to the Hastings urban environment, major motorway interchanges, and less than 25 kilometres to the Napier Port, the location provides vast logistical advantages, and several development options utilising the land to maximum efficiency.
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“An emphasis on development and local productivity by the Council continues to attract high calibre operators to the area, particularly in the cold storage, logistics, processing and distribution sectors.
“Strong demand for large land sites is evidenced through the rapid growth in the value of neighbouring properties occupied by notable enterprises, including trades-based Tumu Group, fruit producer Sun Fruit, apple exporter Rockit, construction company Lattey Group, and logistics firm Mainfreight, which is currently building a large distribution centre.
“All costs for this site have been met by the vendor, including development levies and a comprehensive geotechnical report has been carried out, which will be available to prospective purchasers.”
Vavasour is marketing the property for sale by negotiation.
Occupying a site on the corner with the Hawke’s Bay Expressway (State Highway 2), the property is zoned General Industrial - Irongate Area, which provides for a broad range of industrial uses, and the ability to subdivide into one hectare sites.
“This offers a new owner immediate or forward-looking potential to maximise development fundamentals to subdivide the land and sell sites individually or create their own subdivision/project.
“With vacant industrial premises in short supply, particularly given the summer’s extreme weather events, this provides significant upside appeal for investors and developers,” he says.
The property is presented with multiple purchase options, including the total 9.1ha (more or less) site, which encompasses a 150-bed facility for recognised seasonal employer (RSE) accommodation.
Vavasour says grower Bostock New Zealand occupies the 2,400sq m (more or less) facility with a 15 year lease and one ten year renewal right.
The lease returns a net annual $480,000 plus GST.
“Should the new purchaser be seeking something less substantial, alternate purchase options include a bare land site of 8.25ha (more or less) or the purchase of a regular-shaped 5.25ha (more or less) site with substantial frontage.
“Variations provide flexibility for a new purchaser interested in developing a large-scale horticultural processing operation, mid-scale industrial development, or an investor with an eye on the future.”
Vavasour says that the property, in the recently developed Tumu Way subdivision, is served by two key transportation routes, including the regional arterial route of Maraekakaho Road.
“In light of rezoning efforts, the area has experienced significant occupier demand. Through large-scale capital investment and an ongoing focus from local and central government on supportive infrastructure, Irongate is growing in profile as a key industrial region.
“Disruption caused by storms and regional flooding have only served to exacerbate industrial demand, further highlighting the value proposition for the property as one of the last remaining significant land sites ripe for development,” he says.
- Article supplied by Bayleys
