Dunedin plastics plant and warehouse
The factory at 225 Kaikorai Valley Rd produces a range of plastic products. Photo / Supplied
The head office and manufacturing plant for one of the country’s largest plastic container makers and distributors is for sale.
The expansive warehouse at 225 Kaikorai Valley Rd, in the Dunedin suburb of Bradford, is home to EPI Plastics Ltd, which manufacturers food-grade plastic bottles, jerry cans, garden products, jerry can taps, caps, bungs and plastic toys.
Additionally, the company distributes printed promotional products such as pens, drink bottles, key tags and rings, thermal mugs – freighting its products all around New Zealand. EPI Plastics is also a large provider of custom moulding services – making large and small products from a variety of plastic raw materials.
The 2372sq m warehouse part leased to EPI Plastics sits on about 1.6ha of freehold land – both are being marketed for sale by tender through Bayleys Dunedin, with tenders closing on August 2.
Bayleys Dunedin salesperson Nick Lucas says the building has two levels – with EPI Plastics on the upper storey. He says the building had been strengthened overall to more than 80 per cent of new building standards – with a 100 per cent rating on the upper level.
“Set on a slope, both levels have vehicular access. The upper level consists of 1025sq m – with a separate 74sq m workshop and 150sq m of office space,” Lucas says.
“On the lower level are five units, ranging in size from 150-336sq m, which can be arranged or joined in several configurations to suit tenant needs.”
EPI plastics is on a five-year-lease, running through until January 2023, with two further five-year rights of renewal. It generates a net rental of $104,000 net per annum.
The remaining lower level spaces are on individual lease terms, ranging from month-to-month to five years and earning $57,790pa in rent.
Lucas says the lower level has potential to operate an additional two separate spaces.
Located in one of Dunedin’s light industrial precincts, the Kaikorai Valley Rd warehouse is adjacent to a National Storage facility and a Goodman Fielder bakery.
“The property provides a multiple tenanted investment opportunity or has owner-occupier options,” Lucas says.