An eye-catching building on a busy road in Tauranga with a well-known retail tenant is being placed on the market for sale and will appeal to a wide array of buyers.
483 Cameron Road, Tauranga has 5,051sq m of total net lettable area on approximately 6,293sq m of land, which is zoned Commercial under the Tauranga City Plan.
The property is home to The Warehouse, one of New Zealand’s most high-profile and notable brands, who have a lease at the property that runs until 2025 with three further rights of renewal for four years each, leading to a final expiry of March 2037.
The lease agreement provides $961,033 plus GST and operating expenses in annual rental income and there are further rent reviews in place, which are done to the lesser of market or CPI.
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With multiple street frontages, the property enjoys significant road exposure and there’s more than 200 car parks available for customers with a mixture of covered and uncovered parking. Access to the property is currently available via each road frontage.
Colliers Brokers Simon Clark, Rachel Emerson, and Peter Herdson have been exclusively appointed to market the property for sale by deadline private treaty closing at 4pm on Thursday 20 July, unless sold prior.
The property’s main retail area spans 3,848sq m, while there’s 94sq m of storage. There’s a further 1,026sq m of storage space on the mezzanine floor, alongside 83sq m of retail space.
The building sits among a range of well-known brands in a popular retail precinct, including Pak’nSave, KFC, and Beaurepaires.
Clark, Managing Director at Colliers Tauranga, says this offering shapes as a highly desirable passive investment opportunity.
“Surrounded by fellow blue-chip occupiers, The Warehouse is one of the most recognisable brands that Kiwis have continued to flock to in droves and they have shown the ability to trade well in a range of economic cycles,” Clark says.
“With multiple rights of renewal in place, the property will be attractive for discerning investors looking to expand their portfolio.”
Emerson, Industrial and Retail Sales Broker at Colliers Tauranga, says the prominent location of the property means it stands out from the crowd.
“Cameron Road is one of the region’s best-known and accessible roads serving as a main arterial route that feeds traffic into and out of the Tauranga CBD and carries high traffic flows,” Emerson says.
“In recent years, we have seen a high demand for residential accommodation in the surrounding streets. Higher density three or four-storey apartment complexes are springing up to satisfy this demand. Other nearby amenities include primary and secondary schools, the new Waikato University campus, health providers, and hospitals.”
Herdson, National Director of Capital Markets at Colliers, says buyers with a long-term view of the site may choose to enjoy the rental stream on offer before repurposing it in the future.
“There is significant underlying land value associated with this property due to the scarcity of Commercial Zone land in Tauranga,” Herdson says.
“Given the location is nestled in a high-traffic area there is scope to reposition the property in the future and intensify the usage of the site and maximise its potential.
“We encourage all interested parties to contact us immediately to explore their options.”
- Article supplied by Colliers
