The freehold land and buildings associated with one of Matakana’s most enduring businesses is for sale as the township’s popularity goes from strength to strength.
Four Square Matakana is a mainstay of Matakana Village and occupies a prime corner site at 21 Matakana Valley Road, directly opposite the acclaimed Matakana Village Farmers’ Market and the village’s boutique retail and hospitality precinct.
The store is the sole supermarket for the broader permanent and holidaymaker catchment, and is the NZ Post service centre and private box hub for Matakana, Point Wells, Pākiri, Leigh, Tāwharanui Peninsula and Omaha Beach.
There is a new long-term lease in place to Modern Merchants, a subsidiary of Foodstuffs North Island Limited, trading as Four Square – a brand that marked its 100-year anniversary last July.
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Experienced retailer Omar Amiri is at the helm of Four Square Matakana, and has a strong commitment to building on the store’s well-established trading history and connection with the local community.
The site at the corner of Matakana Valley Road and Torea Road, is 1,171sqm (more or less) and has high visibility to vehicle and foot traffic. The approximately 450sqm retail store recently underwent a significant redesign and refurbishment programme including a new-look façade, revised interior layout, and strengthening to 100 percent of new building standard.
The 15-year lease has a right of renewal on 13th July 2038 and a further 15-year right of renewal through to 12th July 2053. It returns net annual income of $307,044 plus GST and outgoings, with the lease having annual rent reviews, with annual growth benchmarked to CPI plus two percent.
The property is being marketed by Chris Blair, Henry Napier and James Were of Bayleys via a tender campaign closing Thursday 5th December, unless sold prior, with the team saying it provides a future-proofed and passive tenanted investment opportunity.
Blair says the premises of Four Square Matakana have never looked sharper, presenting a fresh face to the village’s main thoroughfare.
“The property is primed for the busy summer ahead, and based on performance and location, is viewed as a flagship asset in Foodstuff North Island’s portfolio.
“We understand that Four Square Matakana is one of the top-performing Four Square businesses in New Zealand, and the super robust and recently negotiated lease reflects the quality of the offering.
“In terms of commercial asset sales in Matakana, this is an outlier given the reputable tenant covenant, the recent upgrades to the property, the length and rental uplift of the lease, and the counter-cyclical nature of the supermarket service sector which continues to be one of the most defensive asset classes.”
Blair says the wider Matakana area has sound underlying growth dynamics, which will provide investors with additional confidence in acquiring this property for a long-term hold.
“Around 6,000 people currently call the Warkworth catchment, which Matakana falls into, home. It is estimated that by 2048, there will be another 7,300 homes in Warkworth’s future growth areas, and the population is expected to increase to around 22,000.
“Expansion in the area is supported by the Puhoi-to-Warkworth motorway extension and Matakana Link Road which have significantly reduced traffic bottlenecks and greatly improved connections with Auckland city.”
The Matakana commercial and industrial real estate market has outperformed the broader market in recent years says Blair, spurred by the popularity of the coastal town as a weekend and holiday destination and underpinned by a lack of suitably zoned development land in the pipeline.
“Matakana is the primary commercial centre east of Warkworth with commercial properties in the town typically having low vacancy, high demand and seeing strong rent growth – generally between 25-50-percent higher on a per square metre basis than Warkworth itself.
“It’s a boutique location for sure, with its own set of dynamics, and one that feeds off the popularity of Omaha Beach and other seaside settlements in the vicinity.
“Our Bayleys commercial and industrial team has concluded more than $83 million in sales in Matakana in the last three years, which is proof of the town’s pulling power for investment.”
The most recent commercial sale transacted by Bayleys was 19 Matakana Valley Road, which sold for $4,100,000 at a record low yield for Matakana of 2.16-percent and a record high commercial land rate of $3,908 per sqm. It is fully-leased to surf shop The Bach Matakana.
Matakana is around 45 minutes’ drive from Auckland’s harbour bridge and is renowned for its niche independent retail stores, galleries, cafes, restaurants, wine bars, cinema complex and the famed Saturday farmers’ market. The Matakana wine region with its numerous vineyards and olive groves is the gateway to popular white sand east coast beaches and regional parks.
- Supplied by Bayleys
