Northcote retail outlet a real bottler
Elevated exterior view of retail unit occupied by Bottle O outlet for sale at 46G Northcote Rd in Northcote.
A recently refurbished retail unit with a long lease on a major arterial road on Auckland’s North Shore is among 25 properties that will go up for auction on Wednesday September 10 as part of Bayleys’ latest Greater Auckland commercial and industrial portfolio.
“The property is leased to a Bottle-O outlet,” says Simon Aldridge of Bayleys North Shore Commercial who, with colleague Ranjan Unka, is marketing the 320 sq m retail outlet at 46G Northcote Rd in Northcote.
Aldridge says property is producing net annual rental income of $90,850 plus GST from an eight year lease to The Bottle-O from May 2008, with four 4-year rights of renewal. “Bottle-O is an Australasian-wide network of independently owned and operated retail liquor stores, with local store owners providing personalised service,” says Aldridge. There are 29 Bottle-O storesthroughout New Zealand and over 200 outlets in Australia.
Aldridge says the property's strategic location on a busy arterial road next to a BP service station, coupled with its easy access and good parking, have worked so well for the tenant that it has already exercised a May 12, 2016, right of renewal - taking the current term through to May 2020.
The property is a situated on the south eastern side of Northcote Rd which is a major connector road to and from the nearby north-south State Highway One motorway.. Within a five kilometre radius are the town centres of Northcote, Birkenhead, Glenfield, Beach Haven, Birkdale and Takapuna - all suburbs that have experienced strong residential growth in recent years.
“The business services the surrounding Northcote,Birkenhead and Glenfield residential areas together with the many Beach Haven and Birkdale residents that use Northcote Rd as their primary means of access to and from the Auckland central business district and the greater North Shoreregion, via the motorway,” says Aldridge.
Unka says the unit, which is part of a building that was constructed in the late 1970s with alterations in 1999, comprises 112 sq m of attractively fitted out retail space at the front; a cold room of 61.5 sq m; 118.5 sq m of warehousing and storage space plus close to 19 sq m of mezzanine office space.
“The unit was originally part of a warehouse complex but, along with many other similar properties on busy Northcote Road, it has been partially converted to retail use because of increasingly high volumes of traffic travelling along it,” says Unka. Other tenants in the area include the adjoining United Video store, the Simply Fresh fruit and vegetable shop, a Mad Butcher store, bakery, dentist and a health centre.
The property is located in a six unit building complex and comes with eight uncovered car parks. Constructed of concrete block walls and reinforced concrete slab foundations, the building has an A-plus seismic rating, with an Initial Evaluation Procedure (IEP) assessment of 141 per cent of New Building Standard (NBS).
“The sale of this unit offers a great opportunity for a passive investor to gain excellent exposure to the retail property market,” says Unka.
The latest retail vacancy survey of the Auckland region by Bayleys Research shows that North Shore retail areas have the highest level of occupancy in the region. Just 1.9 per cent of retail property surveyed north of the Harbour Bridge was vacant according to the latest data. This compares with a vacancy rate of 3.1 per cent across the Auckland region