A large-scale industrial complex used for innovative research and development and testing in Christchurch is on the market.
The 12,535sq m property, at 7 Canterbury St, Hornby, is leased to Holmes Solutions, a subsidiary of international engineering and design firm Holmes Group. Holmes Solutions develops and tests solutions to address a range of challenges facing its clients and the world.
CBRE broker Cameron Darby is handling the sale via expressions of interest, with offers closing no later than October 25.
“This is an opportunity for investors to secure sought-after industrial property in a prime commercial precinct, with an excellent tenant covenant and lease profile,” he said.
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“The vendors are highly motivated to sell, which is a plus in the current environment of reduced transaction volumes. The asset is also likely to be priced at a level which will ensure a strong yield return for the new owner.”
Holmes Solutions has occupied the property since 2021 and has nearly eight years remaining on its lease term. The lease generates around $682,000 in annual rental, with fixed rent increases every year.
The substantial site, which is positioned directly behind the Hornby Mega Centre large-format retail precinct off Main South Rd, has just over 5000sq m of recently-refurbished buildings.
These include a high-stud warehouse with two separate clear-span bays and three gantry cranes. This building also includes amenities and a laboratory and is where Holmes Solutions undertakes its research, design and testing.
Two office buildings and a smaller workshop are also on the site, which has plenty of sealed yard space, dual road access points, full drive-around capability and off-street parking.
Darby said the vendor has invested significant capital into upgrading the buildings over 2023 and 2024, resulting in a quality asset being presented to the market.
“The extensive refurbishment programme has just been completed and includes seismic strengthening, cladding replacement, roof upgrades, gantry crane upgrades and refits of the office buildings, among other improvements.”
Holmes Solutions is a globally recognised research and development business with extensive experience working across both private and public sectors.
The company develops innovative, world-first solutions to solve a range of problems and challenges for clients.
Among its facilities at 7 Canterbury St are a ‘creative hub’ office and collaboration space, where the team considers ideas and works to find answers. One example of a product designed in the Holmes Solutions creative hub is Whoosh, a transport system of autonomous electric vehicles travelling on elevated static cables.
Next door in the large warehouse is a globally-recognised testing facility, where prototypes are built and designs are tested, from shake tables to drop-rigs. The gantry cranes and various specialised equipment kept in this facility are central to these activities.
Among the many other projects the team has designed and tested include the world’s number one zipline brake, road guard rails, an auxiliary braking system for a NASA lunar lander and impact testing rockfall protection walls.
Holmes Solutions’ parent company, Holmes Group, is an organisation of independent engineering and design specialists covering diverse technical disciplines. Founded in New Zealand over 65 years ago, the company now employs more than 500 people and also has offices in Australia, the Netherlands and the US.
The property’s location in the Hornby commercial precinct provides excellent access to arterial roads and the Southern Motorway, with nearby retail centres providing good amenity for staff.
Hornby is one of Christchurch’s premier industrial precincts, reflected in consistently low vacancy. Just 1.5 per cent of industrial space in Hornby was vacant at June 2024, according to CBRE Research.
— Supplied by CBRE
