Fringe units for new commercial investors

7:43 PM Wednesday October 10, 2018 Colin Taylor

The ground floor property at 23B Pollen St, Grey Lynn, is the only commercial unit within the Pollen St Apartment complex. Photo / Supplied

Two commercial units are for sale in Auckland city fringe suburbs – both with vacant possession – and both considered to be good entry-level commercial properties for owner-occupiers and investors.

“The first, a ground floor unit in Grey Lynn, is beautifully presented and ready for occupation,” says Reese Barragar of Barfoot & Thompson Commercial, who is marketing 23B Pollen St for sale via deadline private treaty closing at 2pm on Wednesday October 17 – unless it sells earlier.

“The unit has industrial character finishes with polished concrete floors and exposed beams,” Barragar says. “This is the only commercial unit within the boutique Pollen St Apartment complex, which was completed two years ago.

“With a Mixed Use zoning, the possibilities for this property are numerous including usage as office, showroom and retail space; or for conversion to residential use.”

The unit, with a building area of 127sq m and two onsite secure car parks, has an open plan layout with separate boardroom, two toilets and kitchen-cum-breakout area.

“Depending on its usage, a buyer could anticipate annual rent of around $65,000 net for office use or $75,000 net for showroom or retail use.” Barragar says.

The unit’s outgoings of $12,099.81 plus GST per annum are made up of council rates of $6,111.36 and the body corporate levy of $5,988.45.

True Commercial - 13 Coles Ave%2c Unit 7%2c Mt Eden .jpg

The unit at 7/13 Coles Ave, Mt Eden, is one of 18 that make up the mainly commercial Steel Works character development. Photo / Supplied

Barragar says the unit is in an established residential location of boutique apartment developments with more underway.

“Nearby is Crest Apartments which will comprise 49 freehold apartments. Recently completed in the area are the Turin with 27 apartments; Dylan with 23 spacious residences; and North Apartments with 37 new one and two-bedroom apartments.

“A new Bunnings store is just up the road and it’s only a few blocks from the popular Ponsonby Rd and Karangahape Rd with their numerous retail outlets, bars, cafes, restaurants and nightlife. The area has good public transport services and is close to the Auckland CBD and motorway on-and-off ramps at Spaghetti Junction and Newton Rd.”

Barragar says the location, with its already flexible zoning, is expected to continue to grow both commercially and residentially.

The second freehold unit, also marketed by Barragar, is 7/13 Coles Ave, Mt Eden, which is for sale by deadline treaty closing at 2pm on Thursday October 18.

The unit, with a Mixed Housing Suburban zoning, is one of 18 that make up the mainly commercial Steel Works character development occupied by a variety of businesses.

Quadrilateral in shape, the unit totals about 177sq m, and is predominantly open plan with two bathrooms - one having a shower.

“The unit has a contemporary character finish that includes heated polished concrete floors, exposed brick and steel beams and timber trusses,” Barragar says.

A current lease appraisal puts the anticipated rent at $400 per sq m and two onsite car parks at $50 each per week; equating to around $76,000 per annum.

Annual outgoings of $11,628.51 plus GST are made up of $5698.95 for council rates, plus $5,929.56 in body corporate levy.

Barragar says the unit is on the ground floor of the Steel Works development towards the eastern boundary with Mt Eden Village only about 100m away to the east.

“Coles Ave is a modest addition to Valley Rd which runs between the main arterials of Mt Eden Rd to the east and Dominion Rd to the west.”

“The Mixed Housing Urban Zone is a reasonably high-intensity zone enabling a greater concentration of development than previously provided for. Over time, the appearance of neighbourhoods within this zone will change, with developments typically up to three storeys in height in a variety of sizes and forms; including detached dwellings, terrace housing and low-rise apartments.

“The zoning supports increasing the capacity and choice of housing within neighbourhoods as well as promoting walkable neighbourhoods, fostering a sense of community and increasing the vitality of centres.”