Located on a high-profile corner site in central New Plymouth, a multi-level commercial building with serviced apartments and a homeware retail tenant is being presented to the market for sale.
1 Clemow Road, Fitzroy has 640sq m of total net lettable area with 503sq m of floor space spread across nine serviced apartments, known as The Residence Fitzroy, ranging in size from studio units to three-bedroom offerings.
Home Love & Mette K is the retail tenant, and they occupy 137sq m of ground floor space, which includes an on-site cafe.
Their current lease agreement runs until 2026 and has a further right of renewal for three years. The tenancy provides $28,560 plus GST in net annual rental income and includes yearly CPI rent reviews.
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The two-storey stand-alone building sits on 815sq m of total land area and offers nine dedicated car parks providing convenience for occupants.
The building has considerable exposure to Sackville Street and Clemow Road and sits in the heart of New Plymouth’s most affluent suburb, Fitzroy.
There’s a range of cafes, bars, and shopping options in the surrounding area providing visitors with access to a host of amenities.
Benet Carroll, director at Colliers New Plymouth, has been appointed to market the property and accommodation business for sale by deadline private treaty closing at 1pm on Wednesday 8 March, unless sold prior.
Developed in 2020, the property was architecturally designed by Dsigna Concepts and constructed by Cameron Wilson Builders.
Construction includes concrete foundations and flooring with timber framing, and aluminium joinery over double glazed windows. The external walls are clad with a mixture of brick, concrete, and aluminium panelling. Each apartment is contained within its own ‘fire cell’, providing exciting future subdivision potential.
Built to an exceptionally high standard right down to the internal linings and chattels, there are two studio apartments, four one-bedroom apartments, two two-bedroom apartments, and one three-bedroom apartment.
With room rates starting from $145 per night, the total annual rental income if 100 per cent occupied would be approximately $730,000 per annum.
The apartments include all furnishing such as beds, bedding, couches, dining tables, and air conditioning units – right down to the cutlery.
Carroll says the property provides a range of options for buyers and the recent construction of the building means it meets all seismic standards.
“The serviced apartments business is operating at a high occupancy rate and could easily sustain a full-time management structure, while still offering an excellent return,” Carroll says.
“Purchasers could take a hands-on management approach, or a passive investor could maintain a management structure similar to what is currently in place.
“The existing retail tenant is well-known in New Plymouth and has established a strong reputation since entering the building.”
Carroll says the location of the property makes it sought-after by visitors to the city.
“Fitzroy is one of New Plymouth’s most desirable residential locations, within walking distance of popular beaches East End and Fitzroy and offers favourable proximity to The Valley Mega Centre and CBD.
“The property is a five-minute walk to the award-winning Coastal Walkway, which is a 13.2 km walk and cycleway that forms an expansive sea-edge promenade.
“This is an exciting commercial investment that offers prospective purchasers the opportunity to acquire an established business in a prime location.”
- Article supplied by Colliers
