Freehold site has all sorts of potential

3:25 PM Friday August 2, 2019 True Commercial

17 Maurice Rd, Penrose.

An industrial property that offers a variety of uses for heavy industry and potential development at the rear is being marketed for sale.

Built in the 1970s, the 2428sq m building on a 6392sq m freehold site, at 17 Maurice Rd, Penrose, Auckland, is being marketed for sale by tender through Bayleys Auckland, with tenders closing on August 15.

Salespeople Mike Adams, James Valintine and Ken Hu said that in addition to the existing infrastructure, the property offered development potential.

"It's difficult to purchase property of this size in Penrose, with its proximity to the motorway system and Auckland CBD," said Adams.

The existing two-storey building sits on the front of the site — delivering 65m of road frontage — and has seismic rating of 90 per cent.

There is a large yard to the rear of the premises, along with undeveloped spare land which could be used for another building.

Mainly rectangular in shape, the building has until a few years ago contained ground floor warehousing with light manufacturing and first floor offices.

The ground floor has a stud height of up to 4.5m and has recently been refurbished to a predominantly open-plan space suitable for hosting meetings or congregational gatherings.

"The configuration of the building provides the option for functional and flexible space for a range of uses and can be run under a split tenancy configuration," said Adams.

"The second floor features a large open-plan office space, which is vacant.. The building and its amenities have been maintained to a high standard.

"The owner is flexible with any potential settlement and is willing to negotiate a short-term lease back with any potential purchasers."

Valintine said the property was zoned heavy industry under the Auckland Council plan, which would attract a wide range of tenants in that sector.

Commercial entities surrounding the property include a scaffolding business, processing plants, a vehicle compliance checking centre, and a gas distribution plant, which all took advantage of the both land zoning and its physical location.

"The location within Penrose is characterised by a mix of medium to bigger-sized industrial properties featuring a range of local, national and international warehousing, manufacturing and logistics companies," Valintine said.

Hu said demand remained strong for both ownership and tenancy in secondary-grade property in Penrose.

"Investment activity has been driven by robust occupier and buyer demand, with a shortage of good quality opportunities driving up prices.

"Strong population growth has seen subsequent business expansion and job creation, combining to generate robust demand for industrial workspace. This demand has run ahead of new supply coming on-line."