Mt Wellington redevelopment opportunity
Some of the 28 units for sale at 150 Mt Wellington Highway.
Twenty-eight residential units all on separate freehold unit titles are for sale in the Auckland suburb of Mt Wellington and could be suitable for redevelopment as a retirement village or similar facility.
“Following an upgrade the property could be reconfigured to suit an aged care community,” says Cam Paterson of Barfoot & Thompson Commercial who, with colleagues John Stringer and Paul Neshausen, is selling 150 Mount Wellington Highway by tender closing at 4pm on Wednesday, March 8. The property will not be sold prior to the tender deadline.
“With its easy motorway access, closeness to Sylvia Park shopping centre and its reserve-like environment, this property would be ideal for conversion into aged care use,” Paterson says.
The 28 residential units for sale as a package have a total gross floor area of 3657sq m and occupy 7428sqm of freehold land zoned Mixed Housing Suburban under the Auckland Unitary Plan.
Stringer says that, except for one unit which is vacant for inspection purposes, the units are rented out on periodic residential tenancies for between $430-$460 per week producing a gross income of $621,400 per annum.
“A rental assessment indicates that the units are currently under rented with market rents around $530-$550 per week having a potential gross annual income of circa $758,000,” he says.
The property comprises 27 two-level, three-bedroom townhouses arranged in six modern and attractive blocks and one standalone three-bedroom single-level bungalow, all on individual unit titles.
The townhouse layout is standard throughout with ground floors having a single garage, entrance, toilet and kitchen/dining/lounge opening out onto a small outdoor area. The first floor has three bedrooms and two bathrooms, one being a master bedroom.
An elevated view of the blue-roofed complex
Each unit has an internal garage for one car park and 22 of the units have an external car park also. Unit 9 as a standalone bungalow has a car port accommodating two vehicles.
Neshausen says the units were originally constructed in 2000 and were acquired by Auckland Council in 2007/2008 for the Auckland Manukau Eastern Transport Initiative (AMETI).
“However, the site is no longer required for this purpose,” he says.
Neshausen says the units have been identified as suffering from water ingress, with 27 of the 28 units constructed using a monolithic plaster cladding system.
“The sale provides investors and developers an excellent opportunity to acquire 28 residential units in a desirable fringe city location and add value by undertaking the recladding process. This can be done in stages while benefiting from a substantial holding income generated by the rents.
Paterson says the units occupy a site on the eastern side of Mount Wellington Highway which is set back from the main road and is accessed off a shared long driveway of about 66 metres. “The property faces east/west and is within a very pleasant park-like environment including a small playground.”
Stringer says the location will benefit from significant infrastructure projects currently underway specifically the new AMETI improvements and the recently completed train station which will improve access to this location and to the CBD. “Current travel times to the CBD from Panmure train station is 18 minutes,” he says.
John Stringer (left) and Cam Paterson (right), Barfoot & Thompson Commercial.