Industrial duo in Auckland’s east and west
The modern warehouse and office property for sale at 50 Stonedon Drive, East Tamaki.
Two modern, functional warehouse and office properties that are ideal for industrial owner-occupiers are for sale with vacant possession in East Tamaki and Avondale.
“Both the properties offer excellent value,” says Colliers industrial broker Andrew Hooper who, with colleague Paul Higgins, is marketing 50 Stonedon Drive, East Tamaki, for sale with offers close at 4 pm on Wednesday July 8.
Higgins says the property featuring CBD-quality offices and high stud warehousing is immaculate and near new.
“In a market where we see no competing alternatives currently on offer, we expect strong interest from owner-occupiers, as well as investors looking to buy a prime industrial holding and lease it for income.”
The 3676 sq m building contains a 1876 sq m warehouse along with A-grade offices over two levels and a covered canopy. It sits on a substantial 5805 sq m site and has the potential to generate annual rent of around $510,000.
“East Tamaki is well-established as an industrial location, with occupiers having easy access to the motorway network, airport and central business district,” Higgins says. “East Tamaki’s convenient and central location has resulted in properties being tightly held. This scarcity makes an opportunity like this very attractive for buyers.”
Hooper, in conjunction with colleagues Dwayne Warby and Chris Upright, is also marketing 507 Rosebank Rd, Avondale, for sale with offers closing on July 1.
Warby says the building offers the opportunity for a growing or established business to gain a foothold in the rapidly transforming Rosebank Peninsula commercial precinct.
“Trade and retail uses are intensifying here and its strategic position close to major transport links will likely appeal to distribution businesses,” he says.
Upright says the 6883 sq m office and warehouse property was architecturally designed and offers excellent flexibility, with 3500 sq m of warehousing and 1000 sq m of either office or showroom space. It currently generates annual rent of $543,052.
“The property could accommodate a variety of potential uses across its ground floor showroom or office spaces and two separate medium to high-stud warehouses - along with upstairs offices and storage.”
The property at 507 Rosebank Rd, Avondale.
Hooper says the site has road-front exposure in the Rosebank commercial area, which has undergone significant change in last few years from large bulk industrial and manufacturing to a much more intensive and diverse business/retail profile.
“High profile brands now here include Cadbury’s head office and a new Bunnings Trade Centre that has been specifically developed to service the rapidly expanding trade business and demand growth in Auckland’s western suburbs.”
Hooper says 507 Rosebank Rd was originally a Dulux manufacturing site up until 2001, when it was redeveloped into its current layout.
Upright says Rosebank Rd is often promoted as the closest industrial precinct to Auckland’s CBD – usually less than a 10 minute drive down the State Highway 16 northwestern motorway.
“The completion of the Waterview tunnel will significantly enhance access to the area from all parts of the district when it is completed,” he says. “It will substantially reduce travelling times by bypassing the Auckland CBD and give faster access to Auckland International Airport and the SH20 southwestern motorway for businesses located in West Auckland.”
Warby says the location has additional business appeal given its closeness to very large residential areas. “Ease of staffing is always an important consideration, and West Auckland offers the benefit of having established and growing residential catchments within a very short commute of significant commercial zones like Rosebank.”
“These buildings each represent an opportunity to buy a quality asset for well below what it would cost to replace them,” he says. “For businesses looking to purchase new premises and secure their futures in popular industrial areas of Auckland, these properties will be excellent buying.”
Hooper says Colliers International’s 2015 industrial property market report shows that, with low vacancy rates of just 2.3 per cent for industrial properties in both suburbs the squeeze is on, pushing property values higher.
“Industrial market conditions have never been as tight in Auckland in the past two decades as they are now, good-value and modern properties like these represent excellent options for owner-occupiers.
“There simply isn’t any suitable land available in their respective locations that would allow these types of properties to be replicated for the price at which they will be able to be purchased here,” Hooper says.
From left to right: Andrew Hooper, Paul Higgins, Dwayne Warby and Chris Upright.