Bus stop for big Upper Hutt site
A lease to NZ Bus at 3-5 Masefield St, Upper Hutt, expires on June 30 this year. Photo / Supplied
A large industrial property that has been occupied by bus operators for decades is for sale in Upper Hutt offering the chance to buy a significant Wellington land holding in a high-demand market category.
Tim Julian and Kieran Lennon of Colliers International are marketing the 5392sq m site at 3-5 Masefield St which is for sale by deadline private treaty closing on March 15.
Julian says a lease to NZ Bus expires on June 30 this year which presents an opportunity for an owner-occupier or investor to buy the property now and collect an income while planning their use of the site.
“It will appeal to prospective buyers looking to capitalise on the tight market conditions prevailing in Wellington industrial property at the moment,” Julian says.
“The lease generates around $195,000 plus GST in annual gross income, representing excellent short-term rent until the end of June 30,” he says. “This gives a new owner the flexibility to offer the property for lease to a new tenant or to prepare to occupy the site in July.”
The property encompasses two highly functional buildings and a large yard area of over 4000sq m. A workshop building, which is well equipped with pits for servicing heavy vehicles and machinery, sits on the south side of the site while a clear-span, high-stud warehouse building is on the north side. The two buildings total 1472sq m and both include office and amenity areas. The large sealed yard provides hard-stand storage, parking and wide turning areas.
The property is on three separate titles available together or separately, Lennon says. “The vendor is primarily looking to sell the site as a whole, but will consider offers for individual titles. The separate titles also give a new owner the flexibility to sell off part of the site in the future.”
The property, which is of a significant size compared with others in the vicinity, has street frontage of 78.6 metres. “It’s in the Whakatiki Industrial Precinct, which is considered the best industrial area in Upper Hutt,” says Julian.
“The Whakatiki industrial area is immediately adjacent to State Highway 2, giving businesses in the area great access to Lower Hutt, Wellington CBD, CentrePort and the Cook Strait ferries.”
Roading infrastructure improvements in the area are also benefiting local businesses, including the new interchange at the intersection of State Highways 2 and 58; and the upgrade of Haywards Rd, Julian adds.
“The Whakatiki precinct will be better connected to the new Transmission Gully route than the industrial areas in the lower Valley including Petone, Seaview and Gracefield. This is contributing to property in the Whakatiki area being snapped up by businesses looking to take advantage of Transmission Gully when it opens in 2020.”
Lennon says the lowest industrial vacancy rate for a generation across Wellington sets the backdrop to market conditions and Upper Hutt reflects that.
“In the past few years we’ve seen businesses opt to move to Upper Hutt, where property generally gives cost savings compared with the more central industrial precincts. With the roading improvements that are underway, this trend is anticipated to continue.”
Kieran Lennon and Tim Julian of Colliers International