Big prospective retail site in Panmure
Aerial view of the big site for sale at 71 Jellicoe Rd, Panmure, identified by a red border.
A big site in Jellicoe Road, Panmure is up for sale with resource consent pending for a new convenience retail centre and is expected to appeal to retail developers, retail owner occupiers and land bankers.
Future new zoning is expected to make the site even more attractive for development, says Bruce Whillans, managing director of Whillans Realty Group who, with colleague Brice Clark, is marketing the site at 71 Jellicoe Rd for sale by tenders closing March 17.
Whillans and Clark recently sold 5.8 hectares of land just north of the Jellicoe Rd property to Goodman Property Trust for $30.3 million or $525 per sq m.
“In purchasing that multi-tenanted industrial property, Goodman joined other well-known corporate owners including Augusta, Foodstuffs and Pernod Richard, in giving Tamaki their vote of confidence,” Whillans says. “And this latest offering is immediately adjacent to the Goodman site.”
He says the 6074 sq m corner development property is about to receive resource consent for a retail centre totalling 1896 sq m.
“It has significant commercial development potential under the current operative district plan, and intensive residential development is possible under the Proposed Auckland Unitary Plan [PAUP] under which it will become Mixed Use.”
Whillans says the present zoning allows for medium density office, retail and industrial development but a Mixed Use zone - subject to certain planning requirements – would potentially enable residential, retail and commercial development.
“The resource consent for the proposed retail development for the site has been designed to include new landscaping, a large parking area for 84 cars and four detached retail blocks.”
Clark says the site has high visibility with Auckland Transport’s November 2015 traffic count recording over 13,000 vehicles passing by daily.
“At present the site consists of a sealed metal yard leased to three tenants and producing a net annual rental return of $121,000 which is useful as a holding income,” he says.
Two of the tenants, Right Price Motors and Clouth Investments (Hireace) use their tenancies as car yards, and the third tenant, Barry Rogers has a vehicle detailing business. Lease expiry dates range from 2016 to 2017.
Clark says a 163 metres street frontage onto Jellicoe Rd will give the property multiple access points to the arterial route. It also has about 13 metres of frontage to Morrin Rd.
“If the adjoining site purchased by Goodman is developed into a business park, then 71 Jellicoe Rd will have a ready-made and immediate catchment for convenience retail,” he says.
The Jellicoe Rd property, nine kms southeast of Auckland’s CBD, is in the heart of the Tamaki rejuvenation precinct about one kilometre away from the Tamaki Regeneration Special Housing Area (SHA), the Northern Tamaki SHA, Stonefields and the University of Auckland Tamaki Campus.
“The immediate area is undergoing rapid urban re-redevelopment and regeneration which will support the ongoing requirement for new retail space,” says Clark.
“Nearly all the land to the east of the property has been identified as two separate Special Housing Areas [SHAs] where more intensive residential development can be fast-tracked. Together, these two SHAs have the potential to deliver an additional 3200 to 4000 new homes.”
Clark says major public and private works within a 1500 metre radius of 71 Jellicoe Rd include Todd Property’s 2900 unit residential subdivision at Stonefields, new convenience and trade retail running the length of Lunn Avenue, the Auckland Netball Centre on Stonefields Avenue and the new train station and bus interchange at Panmure.
In its latest 2016 release of SHA’s, Auckland Council has earmarked a further 120 ha of land east of Pilkington Rd to form part of the Tamaki Regeneration Area SHA. These SHA’s and the existing residential catchment will underpin the current and ongoing requirement for new retail space.
Clark says the influx of people into Auckland is well documented and to support this increase the Auckland Council has been busy working on its Auckland Manukau Eastern Transport Initiative (AMETI).
Completed in 2014, Stage One saw the opening of the new Panmure train and bus station and Te Horeta Road, which provides a new link between Mt Wellington, Panmure and Tamaki. Te Horeta Road ends at Morrin Rd, approximately 50 metres from the property.
Stage Two will incorporate improvements to the Panmure roundabout and the widening of Lagoon Drive, including a busway and new bridge connecting Panmure with the eastern suburbs of Pakuranga and Howick.
“With the council’s determination to increase housing, a minimum of 7000 new residents are projected to live within a 10 minute walk of the future Tamaki train station, which could be located directly north of the property,” Clark says.
Bruce Whillans (left) and Brice Clark (right), of Whillans Realty Group