Hamilton building has three national tenants

5:00 AM Saturday February 18, 2017 True Commercial

Mike Greer Homes and the Public Trust occupy the building for sale at 238 Anglesea St. Photo / Supplied

A new A-grade office building in central Hamilton is for sale fully leased to three national tenants.

The 1426sq m building stands on an 825sq m site at 238 Anglesea St, on the corner with Collingwood St, and is producing net annual rental income of $254,661.

Featured in Bayleys’ Total Property portfolio, the property is being marketed by Alex ten Hove and Mike Swanson of Bayleys Waikato and will go for auction in Bayleys’ Hamilton auction rooms on March 9 unless sold earlier.

“This is a superb opportunity to acquire a quality, future-proofed, passive investment property built to the latest health and safety and earthquake standards in a strong location with an excellent tenancy profile,” says ten Hove.

Designed by award winning architectural designer Noel Jessop, the building is constructed of tilt slab concrete and steel with a prominent architectural glass facade facing both Anglesea St and Collingwood St.

“The building has state-of-the-art Mitsubishi air-conditioning with other building features including automatic light sensors in common areas and a high standard of fit out throughout the office areas including a high quality kitchen area on the ground floor,” says ten Hove.

Mike Greer Homes, an established national housing developer, occupies the ground floor on a new five-year lease with two five-year rights of renewal plus signage rights. Its lease has built in rental growth, with yearly rent increases based on the Consumer Price Index (CPI) plus 1 per cent.

The Public Trust, a crown entity established in 1837 which is New Zealand's largest provider of wills and estate administration services, occupies about 225sq m of office space on Level One. It has a new six-year lease with two three-year rights of renewal and three-yearly rent reviews to market.

The remaining 180sq m on that level is occupied by Te Rau Matatini, a government-funded Maori research unit focused on improving mental health and combatting addiction. It has a three-year lease from March 2017, with one three-year right of renewal, and two-yearly rental increases based on the CPI plus 2 per cent.

Swanson says the tenancies share 19 basement carparks off Collingwood St plus five street-level parks.

He says the property has a high profile and convenient location in the central city. Directly opposite is the Institute of Technology building and the new headquarters of Waikato District Health Board which is taking a 12-year lease over the former Farmers Building on Alexandra St, which the retailer vacated to move to the CentrePlace mall.

Around 700 DHB staff are scheduled to move in towards the end of this year after the building has undergone a major refurbishment, including a new facade.

“It will become the base for a number of health services currently spread across the city including support staff from the Waikato Hospital and will result in a big injection of people into this part of the CBD,” says Swanson.