A landmark property towering over Ponsonby and the Three Lamps precinct offers investors an opportunity to own the suburb’s most cherished architectural gem while benefitting from its attractive blend of completed refurbishment works, full occupancy, and a solid rental return.
The former Ponsonby Post Office at 1-3 St Mary’s Road occupies a 408sqm (approximately) freehold site on the corner with Jervois Road, College Hill, and Ponsonby Road with Business – Town Centre zoning.
Bayleys Auckland Metro Markets senior director Alan Haydock says it is an iconic building that is a testament to historical elegance and modern investment potential.
“Originally constructed circa 1912, the Ponsonby Post Office has held a valuable place in the local community – as the gathering place for news during the world wars and, most recently, as one of the city’s most popular hospitality venues.”
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The historical significance is underscored by striking architectural features, including an ornate facade and classic post-Victorian detailing, described by Heritage NZ Pouhere Taonga as one of the country's best-preserved and most heavily ornamented civic spaces.
“The building’s transformation into a commercial asset while retaining its historical charm provides investors with a net income of circa $376,990 per annum, making it a rare opportunity to secure both a steady revenue stream and a piece of Ponsonby’s storied heritage.
“Additionally, extensive refurbishments and seismic upgrades, achieving a 100 percent New Building Standard earthquake rating, make it especially appealing to purchasers keyed into obsolescence trends, ensuring the property remains a secure and future-proofed investment.
“The meticulously renovated interiors complement the building’s historic exterior, offering a high-calibre environment for quality tenants.”
Haydock is marketing the property for sale by tender, closing at 4:00 pm on Wednesday, 25th September 2024 (unless sold prior), with Bayleys colleague Damien Bullick.
The property is tenanted by the restaurant and bar, Hotel Ponsonby, which occupies approximately 401sqm on the ground floor and adjoining courtyard with a 12-year lease to October 2032 and two four-year renewal rights.
National dermatology clinic Skin Institute has operated from the upper level, covering approximately 239sqm, since 2004. Their current lease runs until October 2026, with the option for one four-year renewal.
Bayleys Auckland Metro Markets associate director Damien Bullick says the beautifully restored historic place benefits from an income generated by a billboard lease, further enhancing its investment value.
“Consistent occupancy and diversity of tenants underscore the building’s appeal and suitability for premium users.
“The elevated triangular corner site ensures maximum visibility and exposure, attracting substantial foot and vehicle traffic, reinforcing the property's status as a prominent asset in a high-demand area.”
The brokers say that Ponsonby, with its blend of heritage architecture and contemporary vibrancy, remains a coveted destination for both residents and businesses.
The suburb’s bustling commercial hub centred around Ponsonby and Jervois Roads, features a dynamic mix of boutique and speciality retailers, gourmet eateries and professional service providers.
”Current market trends indicate strong demand for high-quality commercial properties in well-connected and well-serviced neighbourhoods, like Ponsonby.
“This property is primed for significant appreciation with investor confidence on the rise. The combination of historical significance, architectural value, and strategic location makes it an exceptional trophy investment for discerning buyers with designs on this distinguished landmark – Ponsonby’s most beautiful building.”
- Supplied by Bayleys
