Tauranga property poised to attract investors

5:00 AM Saturday July 8, 2017 True Commercial

The property for sale at 1 Valley Grove, Bethlehem – a Tauranga suburb. Photo / Supplied

The land and modern building housing the Bay of Plenty branch of one of New Zealand’s largest independent insurance broking houses is for sale.

The 978sq m commercial office building, at 1 Valley Grove in the Tauranga suburb of Bethlehem, sits on 1310sq m of freehold land, housing two separate business tenancies.

The location’s anchor tenant is BrokerWeb Risk Services, one of New Zealand’s largest independent insurance broking houses, with six branches across the country.

The company specialises in the provision of insurance broking and risk management services for corporate, commercial, rural and domestic insurance buyers.

BrokerWeb Risk Services’ Bethlehem branch employs 12 staff in a spacious open-plan workplace format supported by various small meeting rooms.

It is on a six-year lease running through until 2023, with three further three-year rights of renewal. The company occupies 285sq m of office space.

The secondary tenant is financial advisory and accounting firm Anthony Harris Ltd. It occupies 250sq m of open-plan space and is on a lease running through until 2019.

The two tenants share a tiled entry foyer with bi-fold doors overlooking an outdoor deck, along with sharing staff kitchen and bathroom and shower amenities.

Combined, these tenancies earn a net annual rental of $144,128 net.

Built in 2008 specifically to accommodate commercial businesses, the air conditioned building with suspended tile ceilings incorporates excellent natural light.

The Valley Grove property is being marketed for sale by auction on August 2, through Bayleys Tauranga and features in Bayleys’ latest Total Property portfolio magazine.

Salesperson Lynn Bradley says the concrete block building has secure basement parking for 14 vehicles, with three uncovered parking spaces at the front of the property.

The meticulously maintained modern property is perfectly suited for the needs of its small-to-medium sized business tenants, Bradley says.

“The property should have huge appeal to the commercial market as a strong passive investment opportunity.”

This year a Western Bay of Plenty socio-economic planning report by the National Institute of Demographic and Economic Analysis predicted Tauranga West (including Bethlehem) would be poised for substantial land and building redevelopment over the coming 50 years.