The Warehouse, Kaikohe has been part of the local community for over 25 years and is a major contributor to the regional economic landscape.
Now that the property at 39 Station Road has come on the market, there is a very real commercial investment opportunity.
Having recently renegotiated a commercial lease from August 2022 for a period of six years, as well as three additional rights of renewal of three years each, New Zealand’s largest general merchandise retailer has shown very clear and positive intent to be part of the Mid-North community for many years to come, providing the next owner security and a guaranteed return on their investment in future.
James Vincent from NAI Harcourts Kerikeri says “industrial, office, and retail sectors have experienced a wave of investor demand recently, buoyed by unique but positive economic and financial conditions.”
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“Whilst commercial yields have continued to shorten across all sectors, blue-chip assets, including large format retail premises, have continued to attract the highest levels of investor interest.
“Several commercial properties in the Far North have sold recently with yields as low as 3.9% and the investor pool continues to widen as some residential investors have exited investments due to changes in taxation rules and other legislation,” Vincent says.
There is a planned store upgrade scheduled for the premises within the first term of the lease. While this will be covered by the tenant, there will be some capital investment required by the new landlord as part of the terms of the lease, namely for lighting and air-conditioning upgrades.
There is additional income from a community services tenant who has recently renewed a two-year lease making this site a prime commercial investment.
Located next to the Countdown Supermarket and a McDonald's Restaurant, the location of this property couldn’t be better. It is a well known and regularly frequented shopping destination for local consumers.
This property will be sold by public auction on Thursday 7 April unless sold prior.
- Article supplied by NAI Harcourts
