October feast for Colliers teams
This retail strip at 127-131 West End Rd, Westmere, sold for $3m. Photo / Supplied
October was the second-biggest month on record for the Auckland CBD and city fringe sales teams of Colliers International.
Gareth Fraser, director of investment sales, says a string of sales with sub-5 per cent yields contributed to an exceptional month for transactions in Auckland.
This follows a Winter of record activity. “The unusually high level of action in the market has continued into an extraordinary Spring, with strong sales results and frenzied activity in the auction room over the last month,” Fraser says.
“Highlights included a 1.5 per cent yield for a suburban retail block; a yield in the low 2 per cents for 26 inner city car parks, and a 4.4 per cent yield for a city fringe office.”
Among notable October transactions were:
- 490 Pakuranga Rd: A multi-tenanted convenience retail property sold for $2.9m, or a yield of 5.74 per cent, several months after the close of the campaign. The brokers were Gawan Bakshi and Matt Barnes.
- 5 Broadway, Newmarket: A commercial office sold for $6.75m, or 4.4 per cent, in an off-market deal brokered by David Burley and Adam White.
- 34 Sale St, Auckland: A premium office property sold for $63m, in the early 5 per centrange, in an off-market deal brokered by Simon Child, Sam Gallaugher and Matt Lamb.
- 127-131 West End Rd, Westmere: A suburban retail strip sold for $3m, or 1.5 per cent on contract income, following frenzied bidding at auction. It was brokered by Kris Ongley and Jonathan Lynch.
- 5-7 Galatos St, Auckland CBD: An office and warehouse, tenanted by Eat My Lunch, sold for $4.35m or a 4.35 per cent yield. The auction was brought forward after Lynch presented an offer acceptable to the vendor, setting the reserve, and a further 15 bids were received.
- Halls Portfolio: $8m of capital was raised for an industrial property portfolio syndication, brokered by Charlie Oscroft and Ongley.
- 614-616 Great South Rd, Greenlane: A showroom and warehouse sold by deadline private treaty for $11.6m, or a 3.1 per cent yield on holding income; in a deal brokered by Fraser, Child, Josh Coburn and the capital markets team.
- 1/2 Kitchener St, Auckland CBD: A multi-tenanted retail unit sold for $3.5m, or a 6.38 per cent yield, brokered by White, Simon Felton and Bakshi, several weeks after the close ofthe campaign.
- Farmers Car Park, 23-31 Hobson S, Auckland CBD: Twenty-six strata-titled car parkswere sold by Fraser and Roger Seavill in a deadline private treaty campaign for a yield in the low 2 per cents.
- Level 6, 26 Hobson St, Auckland CBD: A strata-titled office floor plus 14 car parks sold with vacant possession, by deadline private treaty for $2.03m, in a deal brokered by Tony Allsop, Child and Seavill.
Fraser says he expects this level of activity to continue.