Whangaparaoa retail and medical
The retail centre at 651 Whangaparaoa Rd is anchored by Whangaparaoa Family Doctors.
Six retail units in a new convenience shopping centre at 651 Whangaparaoa Rd are to be auctioned by Colliers International later this month.
The freehold strata-titled properties are being marketed by Colliers agents Deborah Dowling, Euan Stratton and Jessica Martin.
They are to go under the hammer individually at 11am, on November 29 — at 151 Queen St, Auckland — unless sold earlier by negotiation.
Five of the units have new lease terms of eight to 15 years, with further rights of renewal and rental growth built in.
They are occupied by Burger Fuel, St Pierre’s Sushi, Whangaparaoa Family Doctors, Whangaparaoa Family Pharmacy and Whangaparaoa Dental Studio.
“The sixth unit houses an owner-occupier’s food business, or could be purchased by an investor and offered for lease,” says Dowling.
The doctors’ practice — which has been part of the community for 25 years — anchors the centre, providing a convenient healthcare and retail hub for the community,” says Dowling.
“The centre has been attractively-designed and has a highly visible corner position in the Whangaparaoa commercial centre. With the ongoing growth of the Hibiscus Coast into a large residential suburb of Auckland, the retailers in this new centre are well-placed to benefit from a position in this fast-growing catchment,” says Dowling.
Stratton says with the annual net rentals on the units ranging from $27,500 to $126,500, the properties sit within a popular price bracket.
“High-quality smaller retail property investments like these are eternally popular, owing to their easily understood fundamentals and accessible pricing.
“With the low borrowing rates available, we are seeing many first-time buyers enter the commercial property investment market and diversify away from residential investments.”
Martin says that with all the tenants on long-term leases with guaranteed growth, the units present sound investments.
“For the first-time investor in commercial property, these units tick all the boxes and are easy to manage, hassle-free investments,” she says.
“They would be ideal for people looking to diversify into commercial property with income-generating holdings, and a capital outlay affordable to many.”
The centre features a single-level building and customer parking in front of the units. An appropriate mix of tenants is a priority for the developers, Dowling says. “The centre was carefully planned to provide a tenant mix that will really work for the local community.
“The resulting combination of medical services and food retailers fills a gap in the locality and has already been well-patronised since opening.”
The fact that the centre has been quickly taken up by food businesses and service providers following its completion shows this growing area attractive to convenience retailers, she says.
The timber and stone-clad building, which has an Initial Evaluation Procedure (IEP) seismic rating of 100 per cent of NZ Building Standard, contains tenancies of between 50sq m and 361sq m in size.
The largest unit is home to the medical centre which employs six GPs, says Martin.
“Whangaparaoa Family Doctors moved their practice from Wade River Rd to this property.”
Burger Fuel’s tenancy has a dedicated outdoor dining area and the other food tenants are permitted footpath tables.
The centre is surrounded by larger national-brand retail tenants and is visible to over 25,000 vehicles passing every day, says Stratton.
“Whangaparaoa Rd is the main arterial route linking Gulf Harbour to the Hibiscus Coast Highway. This high-exposure position has been recognised by several national retailers including Wendy’s, Z Energy, Mitre 10 Mega, McDonald’s and Hoyts.”
The retail centre serves a fast-growing residential catchment and, given the significant population growth which is forecast for the Hibiscus Coast, the new centre looks set to capture good customer numbers into the future, Stratton says.
“The centre is also close to the proposed Penlink route; a new 7km arterial link proposed between State Highway 1 and Whangaparaoa Rd. The project is intended to improve travel times and reliability and facilitate increased economic growth.”