Penrose office duo promise rental upside

5:00 AM Saturday March 26, 2016 True Commercial

The two adjacent office buildings which are for sale at 12-14 Walls Rd.

Two adjacent office buildings on a prominent corner site in Penrose are for sale exclusively through JLL.

These are located at the corner of Walls and Olive Rds in Penrose, just 500m (six minutes’ walk) from Penrose train station and a five-minute drive (1.6km) from the Ellerslie-Penrose motorway interchange.

JLL is running an expression of interest process for these fully tenanted buildings, closing on April 14.

The opportunity involves a total site size of 4150sqm and a net lettable floor area of 2663sqm. This has proved an excellent earner for the current owner, returning $571,669 in net rental per annum.

Sam Smith, JLL’s national director industrial, and Ian Hall, commercial sales and leasing specialist, are marketing the property.

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The entrance to 12-14 Walls Rd.

“There will be excellent rental upside for the new owner, with the potential to turn the ground floor into showroom space in the future,” Hall says. “The new owner could also look to split the two buildings in the future, as they are on two unit titles.”

Penrose has “long been considered an excellent location for semi-industrial and office-based businesses, because of its location right on the arterial routes. It’s only 12km from Auckland’s CBD and 15km from Auckland Airport,” Smith says.

“In recent years the area has benefited from improvements in public transport, better amenities such as new cafes, modern office developments and Sylvia Park shopping centre just 10 minutes’ drive away.”

The two-storey building at 42 Olive Rd has a net lettable floor area of 1089sqm while 12-14 Walls Rd has 1612sqm of space across three levels. There are 86 carparks, 75 of which are covered and 11 uncovered.

“The site has a better parking ratio than many similar properties in the area,” Hall says.

The concrete and steel buildings were constructed in 1986 and have an A-plus seismic rating with an evaluation of 276 per cent of new build standard.

Hall says the tenants appreciate the convenience of the location and the standard of the facilities.

“Sky Network Television is the tenant at 42 Olive Rd and 12-14 Walls Rd is home to Te Puni Kokiri — Ministry of Maori Development, Aqua Cars and Blackhawk Tracking Systems,” Hall says.

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Sam Smith (left) and Ian Hall (right), of JLL