The land and building housing a pair of nationally branded automotive-related tenancies and a Maori land management agency in provincial New Zealand have been placed on the market for sale.
The 2,617-square metre wedge-shaped site located on a prime high-visibility intersection in Napier’s central business district houses the local workshop branches of a second-hand car dealership 2 Cheap Cars and tyre repair outlet Beaurepaires, along with offices of Hawke’s Bay-based iwi entity The Green Hub.
Sitting on the corner of Wellesley Road and Thackeray Street, the address is zoned Fringe Commercial under the Napier City Council plan. The three tenants are separately housed within a 920-square metre building.
Beaurepaires was founded in Australia in 1922 by Olympic swimmer Frank Beaurepaires with money he received from rescuing a shark attack victim from the water at Sydney.
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The Beaurepaires brand has been servicing New Zealanders’ tyre and battery needs for more than 35 years and is one of the country's largest retailer of tyres – operating from 59 stores throughout New Zealand. The company is now a subsidiary of Goodyear and Dunlop Tyres Australia.
Meanwhile, the 2 Cheap Cars brand was established in 2011 and has subsequently grown to now sell some 10,000 vehicles a year. In addition to the Napier site, 2 Cheap Cars has branches throughout the country – with seven yards in Auckland, along with locations in Tauranga, Hamilton, Palmerston North, Wellington, and Christchurch.
The third tenant on the site is The Green Hub which administers multiple marae and Maori associated landholdings throughout the Hawke’s Bay province as a non-governmental organisation.
The flat property at 2 Wellesley Road is now being marketed for sale by negotiation through Bayleys Napier. Salesperson Michael Su said the property was a ‘textbook’ split-risk investment opportunity which benefitted from sitting on the apex of two busy roads leading in to and out of the central city.
Many of Napier’s car sales yards and automotive-related businesses are located along Thackeray Street.
“The extensive street frontages onto Thackeray Street and Wellesley Road deliver outstanding profile for 2 Cheap Cars which has its sales yard facing onto the road, supported by a single level office space,” said Su.
“The Beaurepaires portion of the building is slightly higher – allowing for prominent orange and black branding under its roofline. The tyre workshop is accessed by a wide shared driveway running down the side of the building and leading into a sealed yard for customer parking.
“The business operates four vehicle servicing bays – each with its own roller door access. Offices, staff amenities, and a customer reception area and waiting room are located on either side of the workshop.
“Meanwhile, The Green Hub tenanted portion of the building sits in the middle of the two automotive tenancies, and is a typical commercial format with meeting rooms, offices, and staff amenities.”
Combined, the three tenancies at 2 Wellesley Road generate annual net income of $148,059 + GST, with:
-Beaurepaires on a current lease running through to 2026 with two further five-year rights of renewal
-The Green Hub is on a current lease running through to 2025, and
-2 Cheap Cars is on a rolling monthly lease.
“From a long-term development perspective, there is the obvious potential to intensify use of the property - as the building currently on site only occupies approximately 65–70 percent of the land,” said Su.
“The template for any such development of 2 Wellesley Road along the lines of a new office block can be seen at the neighbouring multi-storey commercial office complex completed last year.
“Constructed on a similarly sized block of land, the premises next door
accommodates multiple government agencies – including the Ministry of Social Development, Oranga Tamariki, and Work and Income.
“There is already an existing synergy between the two addresses – which share the communal driveway leading to the Beaurepaires business and the staff car parking spaces for the government workers.”
- Article supplied by Bayleys
