High-profile industrial site gleaming trophy for the portfolio

9:33 AM Saturday August 9, 2014 Colin Taylor

An interior view of the warehouse area of 2600sq m within the stand-alone building at 62 Apollo Drive, Albany.

A high-quality, modern warehouse and office building in Albany, completed in 2006 and fully leased, is among a number of industrial properties featured in Bayleys' latest Greater Auckland commercial and industrial property.

The stand-alone building at 62 Apollo Drive is producing net annual rental income of $534,050 from two tenancies and is one of the larger properties that will go under the hammer in Bayleys Greater Auckland portfolio auction on September 10. It is being marketed by Matt Mimmack and Daryl Devereux of Bayleys North Shore Commercial.

"It's one of the North Harbour Industrial Estate's trophy properties, with nearly 2600sq m of warehousing with a stud height of close to 10m and multiple roller-door access plus around 860sq m of highly specified, air-conditioned office and showroom space," says Mimmack.

"It also has massive road front exposure, with the 5282sq m site having a curved frontage of 93m to Apollo Drive. This has enabled the building to be split into two units, both with ample street frontage."

Mimmack says the vendor has recently upgraded the building to comply with proposed Auckland Council FHC4 fire rating and it has an above average warehouse-to-office split for a North Harbour property.

"So it's an ideal opportunity for a medium-sized investor looking for a superior standard of exposure to the industrial property market," he says.

Investment risk is also spread across the two units which have separate tenancies. The larger of the two comprises 1938sq m of warehousing, 294sq m of ground floor office and showroom space and 293sq m of first floor offices. Its two-storey road front office wing features extensive glass curtaining, plus architecturally-designed angled walls and canopy extensions. The unit is leased to Balineum Ltd, an importer and distributor of high-quality kitchen and bathroom products, which has been in occupation since the building was completed in 2006.

The second unit has 650sq m of warehousing and 272sq m of office and showroom. Its tenant Classique International has also been in occupation since 2006 and exercised a five-year right of renewal in November 2011. The packaging company specialises in the design and production of a wide range of carry bags and boxes.

Each unit has its own separate yard and landscaped parking areas, with the larger unit having 30 car parks and the other 14.

Mimmack says the property's north-easterly aspect provides plenty of natural lighting assisted by translucent roof panels at regular intervals on the warehousing and extensive glazing on the office space.

"The quality of design and materials used in construction, such as the fully tiled European bathrooms and showers, European oak kitchens and timber panelling in offices, set it above the level of most developments in this locality, with both the external and internal presentation being of a very high standard," says Mimmack.

Devereux says the property is about 100m from a roundabout intersection with Arrenway Drive. Apollo Drive is a secondary thoroughfare linking Rosedale Rd through to Constellation Drive and providing access to Arrenway Drive, Triton Drive and the Millennium Centre.

"Surrounding buildings are predominantly above-average quality warehouse, office and retail buildings, the majority of which were built in the mid 2000s," Devereux says.

"It's now a well established business locality, which benefits from being close to urban areas, motorways and the Wairau Valley. Most of the land in the North Harbour Industrial Estate has now been fully developed."