‘Funky, personalised office space’ in Quay Park
The units for lease front onto this central lane running through The Exchange, in Mahuhu Square.
A new commercial precinct in Mahuhu Square on the eastern fringe of Auckland’s central business district has met with a strong take up from tenants with only four units still available for lease.
New leases on 14 of the 20 units in The Exchange building complex located on Dockside Lane and Tapora Street in Quay Park, have been concluded since April last year and two existing tenants have taken up more space in newly refurbished units.
The Exchange, being managed by Russell Property Group and marketed by Bayleys Real Estate, is now almost fully leased with popular packages including fully fitted out tenancy options for smaller businesses and professional firms.
The complex’s commercial tenancies are anchored by newly secured occupants like pioneering data warehouse automation software company Wherescape, the property arm of Ngati Whatua o Orakei, and Optimism, a business learning and development provider.
Carson Fox Legal, one of the original businesses in the area, has upgraded to larger space from a previous office. These larger tenants are complemented by a mix of smaller ICT, media, marketing and consultancy firms.
The remaining tenancy options range from 145 sq m to 270 sq m, all with ground floor and mezzanine levels and a double height fully glazed frontage to the central lane running through The Exchange.
“This provides high visibility and strong branding opportunities for occupants,” says Brendan Graves, Auckland office leasing specialist for Bayleys. “Russell Group has worked with tenants on the majority of fit outs creating some stunning bespoke space. The businesses that have moved in love the feel of the laneway and the atmosphere it creates along with the opportunity presented for funky, personalised business accommodation.”
Graves says tenants have also been attracted by the gross leases being offered where the landlord pays the operating expenses (Opex) including rates, building insurance and body corporate levies, as well as ground rent payments resulting from The Exchange’s location on leasehold land. Most tenancy agreements in Auckland are net leases whereas Opex is generally apportioned among the building’s tenants.
“Fixed annual rental increases and the fact that there is no exposure to variable operating expenses, means tenants know exactly what their occupancy costs will be for the duration of the lease and can budget accordingly,” says Graves.
This high stud space in The Exchange is leased by IT company Wherescape.
“The total package offers very affordable space compared with similar office accommodation in the centre of the CBD, yet tenants are only a few minutes' stroll from the busy business and entertainment precincts of Britomart and The Viaduct and close to the ferry, train and bus transport hubs.
“The area in which The Exchange is situated is becoming an increasingly popular location in its own right because of its convenient access to Parnell, Newmarket and the motorways, as well as the CBD. As more office tenants have moved in, the number and quality of food and beverage and retail tenancies have continued to gather rapid momentum. There is also good parking available for tenants underneath the building and in the neighbouring Arena carpark.”
Situated above The Exchange is the recently opened Adina Auckland, an apartment hotel operated by Toga Far East Hotels. This hotel was redeveloped from previous residential apartments in the QUBA Complex and incorporates a cafe and bar opening in mid-February. Russell Group’s Brett Russell says the hotel, which is the closest to Vector Arena, is proving very popular and is an added bonus for The Exchange occupants who have staff or clients visiting Auckland.
“One of the tenants has its head office in Wellington and staff from there regularly stay at this conveniently located hotel.”
Brendan Graves, Bayleys