Freehold character building in the heart of Auckland city

A stunning freehold character building in the heart of Auckland’s Victoria Quarter is for sale with split-risk income from three fully leased office floors and a spectacular two-level penthouse apartment.

The five-level property at 33 Sale Street is superbly located on the doorstep of Auckland's CBD with award-winning restaurants, gyms, parks and transport links all a short walk away.

It is fully leased to four commercial tenants and one residential tenancy, providing a new owner with a split-risk net annual income of $383,945 plus GST.

Anchoring the building’s cashflow on a new six-year lease is Les Mills New Zealand’s head office, which is spread across an impressive high-stud ground floor, basement and first floor.

Two further levels of character office space are beautifully fitted out to a modern standard, and fully occupied by three diverse tenants.

Sitting atop, with panoramic central city views, the 330sq m penthouse apartment boasts five bedrooms, each with an ensuite, plus two living areas, an open plan kitchen and dining, and plentiful decks for outdoor entertaining.

Colliers International and Bayleys Real Estate are jointly marketing the property for sale by tender closing at 4pm on Wednesday 2 December, unless it is sold earlier.

Jonathan Lynch, Associate Director of Investment Sales at Colliers, says it has abundant income and lifestyle potential.

“This is a rare opportunity to acquire a mixed-use, multi-tenanted property in Auckland's sought-after Victoria Quarter.

“The fully refurbished, standalone character building is presented to a very high standard and boasts an A-grade seismic rating of 98 per cent NBS.

“The penthouse would make an incredible inner city ‘bolthole’ for a new owner and lends itself nicely to a new design for someone with their own creative flair.

“It could also be easily converted to a stylish office space at minimal cost, which would appeal to a commercial owner-occupier seeking a unique space for their business.

“The commercial tenancies have clear income growth potential, plus all the benefits of a sought-after location that will continue to grow and flourish.

“Whether you are looking for a trophy investment or a central city apartment with supplementary income, this one is for you.”

Cameron Melhuish of Bayleys says the property provides a floor area of some 1,292.2sq m on a 489sq m freehold site.

“The building has been meticulously refurbished and expanded over its lifetime. The lower levels, once occupied by Clooneys restaurant, have recently undergone a major renovation by new tenant Les Mills.

“The Les Mills tenancy includes a 78sq m lower ground floor area, which provides a lunchroom, meditation room and outdoor courtyard area.

“Above this, at ground level, Les Mills occupies 380sq m of elegant character space with polished concrete floors and a truly impressive stud. The offices are mostly open plan along with meeting rooms, a boardroom and breakout areas. A mid-level space of some 112sq m includes further staff rooms plus bathroom facilities.”

Tony Allsop of Colliers says the first and second floors consist of cool character office space that showcase exposed brick walls and polished concrete floors.

“The second floor has been subdivided into three separate tenancies that all have their own kitchen facilities and use of the shared bathrooms.

“Spacific, which provides design and marketing materials for schools, occupies 91sq m on the first floor.

“First AML, which delivers anti-money laundering services to professional clients, occupies 218.5sq m on the second floor. This floor is also home to fabric sourcing company Skywards Apparel, which occupies 84.7sq m.”

Allsop says the two-level penthouse apartment at the top is truly spectacular.

“Completed to a very high standard, its unique features include substantial decking from which stunning views can be enjoyed.

“All bedrooms benefit from their own ensuites, including the master bedroom which has a large walk-in wardrobe, deck, and excellent natural light and views to be enjoyed.”

Matt Gordon of Bayleys says the property is well located in one of the fastest-growing areas of the Victoria Quarter, which has seen significant residential and commercial development in recent years.

“The vibrant Sale Street area has been home to Les Mills, Dentsu Aegis Network, ACC and popular hospitality business, Sweatshop Brew Kitchen for some time.

“In recent years, an influential commercial surge has occurred along Sale Street with various large-scale developments completed and notable new occupiers moving into premises including Vocus Communications, AA Insurance and the global advertising giant, WPP.

“The highly successful Grace apartment development was also completed directly across the road from 33 Sale Street early this year.

“Near the property is the lively and stylish City Works Depot, which is home to creative hospitality offerings including Best Ugly Bagels, The Botanist, The Food Truck Garage, Odettes Eatery and Brothers Beer.”

The property is zoned Business City Centre, which enables the greatest intensity of use in Auckland.