A large-scale property that is home to two established tenants in Rosebank Peninsula’s tightly held industrial precinct is being presented to the market for sale and offers buyers the opportunity to acquire a premier asset.
399 Rosebank Road, Avondale has 8,634sq m of total net lettable area on a 14,574sq m freehold site that has 60m of street frontage and is zoned Business – Light Industry Zone under the Auckland Unitary Plan.
Aquaheat New Zealand is the tenant in the front portion of the property that spans 2,028sq m and comprises two levels of office space, amenities, and a high stud warehouse. They also have access to 58 car parks. Aquaheat have a six-year lease that runs until June 2028.
NW Group occupies 6,606sq m of space at the rear of the property, including a three-bay warehouse, large canopy with cart docks, two levels of office and amenities, and a large yard.
Start your property search
Their current lease runs until March 2032 with one further right of renewal for six years, leading to a final expiry of March 2038.
The total rental income from this highly functional property is $1,060,020 plus GST per annum and both leases include 2.5 per cent annual increases with increases pending in 2023.
The Rosebank Peninsula is one of the most sought-after industrial locations in Auckland given its proximity to the CBD and Ports of Auckland. Nearby interchanges also provide convenient access to the Northwestern Motorway.
Roading infrastructure improvements such as the Waterview Tunnel have improved the area’s connectivity to the airport and South Auckland.
Colliers Directors Brad Johnston, Dhiru Patel, and Greg Goldfinch have been exclusively appointed to market the property for sale via deadline private treaty closing at 4pm on Wednesday 7 June, unless sold prior.
Originally constructed in the 1970s and 1980s, the property has been further expanded and refurbished in recent years for the current occupiers.
With extensive road exposure to one of West Auckland’s busiest arterial routes, the well-maintained property has served the tenants extremely well for their business operations.
Johnston, Director of Industrial at Colliers, says there is a strong tenant covenant attached to the property given the long-standing occupants.
“NW Group delivers exceptional technical production by supplying the highest standard of audio, video, and lighting by specialist professionals across Australasia with teams and equipment in Sydney, Melbourne, Brisbane, Adelaide, Perth, Auckland, and Wellington,” Johnston says.
“The Aquaheat business unit falls under Horizon Energy Group and specialises in the supply, installation, commissioning, and maintenance of heating, ventilation, and air conditioning and mechanical services.
“Over the years, they have grown to employ more than 300 full-time employees operating out of Auckland, Wellington, Christchurch, and more recently Suva and Nadi.”
Patel, Associate Director of Industrial at Colliers, says limited land supply and low vacancy rates make the Rosebank Peninsula’s industrial hub a keenly sought area.
“Recent research from Colliers notes that the overall industrial vacancy rate across Auckland is 1.7 per cent but in the Rosebank and Avondale precinct it is only 0.2 per cent for prime properties,” Patel says.
“This gives an indication of how challenging it is to find industrial space across the city and underpins why properties such as this one are tightly held and rarely offered to the market.”
Goldfinch, National Director of Industrial at Colliers, says when examining all of the key aspects of this property it presents as a compelling investment opportunity.
“There are some excellent investment fundamentals associated with this offering, namely having established tenants in a sizeable property in a sought-after industrial location,” Goldfinch says.
- Article supplied by Colliers
