Options in upwardly mobile Morningside
The fully leased buildings (in red border) cover a total of 4677sq m.
A block of eight adjoining industrial buildings, on their own freehold titles, on over half a hectare of land in Morningside are up for sale offering a wide variety of purchasing options.
The fully leased buildings totalling 4677sq m are located on a 5785sq m site at 28-38 Ethel Str and 27-31 Leslie Ave, near Eden Park.
“It’s an offering that provides plenty of possibilities for owner-occupiers, developers or investors, with land lots sized from 612sq m and buildings from 387sq m,” says Bayleys Real Estate’s Scott Kirk.
He and Bayleys Auckland City & Fringe team colleagues Alan Haydock and James Were are marketing the property by tender, closing October 13 unless sold earlier by negotiation. Offers can be made for one or more of the individual tiles and the buildings on them or on the entire block, which is generating total annual holding income of about $579,636.
“With many of the leases on short term tenancies, there is an opportunity for owner occupiers to move into one of more of the buildings almost immediately,” says Kirk. “The buildings are also basically providing holding income at present and offer strong rental upside potential for investors looking for add value opportunities.”
Haydock says the site has significant development potential given its dual street frontage, proximity to Morningside train station and main arterial transport routes as well as its easy access to popular Kingsland Village, Eden Park and St Lukes shopping and cinema complex. Its zoning is changing to Business Mixed Use under the Auckland Unitary Plan.
“One of the most attractive attributes of this offering is its location in an already desirable city fringe suburb which is set to go through an exciting period of regeneration and growth under this more flexible zoning,” says Haydock “In particular this opens up increased opportunities for more intensive residential development with buildings up to 18 metres high permitted.”
Under the unitary plan, the Business Mixed Use Zone allows for residential as well as smaller scale commercial and industrial uses that will not significantly compete with the commercial activity expected within the plan’s centre zones.
The zone does not specifically require a mix of residential and commercial uses on individual sites or within areas, but buildings are expected to be adaptable so their uses can change over time.
“There are already a number of apartment buildings in Morningside and it is likely to follow in the footsteps of neighbouring Kingsland where there has been extensive residential redevelopment and intensification around a flourishing bar, cafe and restaurant strip,” says Haydock. “This, along with its central location and excellent transport links has made Kingsland a sought-after suburb, particularly among young property buyers and renters, and Morningside looks set to head the same way.”
Were says the properties are conveniently close to the arterial routes of New North Rd, Morningside Drive and Sandringham Rd, which provide excellent access to Auckland’s CBD and the wider city fringe. “The western motorway is a short drive away and the opening of the Waterview tunnel and the State Highway 20 connection will further enhance this already popular location,” he says. “This is an opportunity to be part of the repositioning and rejuvenation of Morningside into a vibrant commercial and residential hub.”