Shop for rare shops in Wanganui

9:40 AM Wednesday April 1, 2015 Colin Taylor

Some of the shops in the Fairfield Shopping Centre, Wanganui.

A multi-unit and fully-tenanted suburban shopping centre minutes from Wanganui’s CBD is to be sold with its local owners have decided to downscale their property investment interests.

The Fairfield Shopping Centre in Fitzherbert Avenue comprises a 1063 sq m property, including its verandas, which is currently earning $106,974 net per annum from eight tenancies.

“In my10-year real estate career, this is the first retail complex of its type to come to the market in Wanganui,” says Bob Davies of Bayleys Wanganui who is marketing it for sale by tenders closing April 10.

“The centre is leased to a good mix of local businesses and I have tenants waiting in the wings ready to sign up for space as soon as any becomes vacant,” Davies says.

“Local shopping centres such as this one are enduring. The convenience factor of having multiple small businesses clustered together within easy walking distance of residential catchments means that the whole is greater than the sum of its parts.”

He says the concrete block shopping centre has been well-maintained by the owners and the roof has recently been replaced.

“While there are nine individual tenancies across the stratum freehold strata-titled centre, the bakery tenant recently expanded into the unit next door with a cafe operation effectively making it an eight-tenant offering,” Davies says.

Within the complex are the bakery-cafe, a pet shop, storage areas, takeaway, dairy, book shop and Westpac automatic teller machine. Customer parking is available at the front of the complex and staff parking is at the rear.

The lease terms vary across the property with final expiries ranging through until 2034.

Davies says there is potential upside for investors given untapped redevelopment prospects and rental growth,

“There is extra room to the rear of several of the tenancies ,currently used for storage, which could be incorporated into the foot print of the retail units as they come up for renewal,” says Davies.

He says Fitzherbert Avenue is a major arterial route to the residential areas of Gonville, Castlecliff and Springvale.

“The complex has a highly-visible profile to heavy passing traffic flows and it benefits from being close to a long-established medical centre.

Davies says the vendor is retired Wanganui general practitioner Dr. Robin MacLachlan and his wife, Jan. “Until his retirement, Dr. MacLachlan was in practice at the medical centre adjacent to the retail complex,” he says.