Neighbouring sites with warehouse opportunities

3:50 PM Friday November 17, 2017 True Commercial

The property, at 13-15 Porchester Rd and 5-9 Old Wairoa Rd, Papakura. Photo / Supplied

Bed, Bath & Beyond’s Auckland distribution centre is for sale, offering investors and owner-occupiers the chance to secure a large industrial site with holding income from a national tenant.

Colliers International is marketing the 1.096ha property, at 13-15 Porchester Rd and 5-9 Old Wairoa Rd, Papakura, for sale by deadline private treaty. Offers on the property, featured in the latest Colliers Portfolio, will close on December 13, unless sold earlier.

Located in the well-established Papakura industrial precinct, close to the motorway and within 28km of Auckland’s CBD, the property comprises four freehold titles.

Colliers International Industrial Sales and Leasing brokers Paul Jarvie, Greg Goldfinch and Ash Vincent say the offering will appeal to a wide range of buyers.

“This highly flexible property offers multiple options for owner-occupiers, investors and developers,” Jarvie says.

“Bed, Bath & Beyond is offering the site for sale with an 18-month leaseback with two three-month rights of renewal, providing a solid holding income of $575,361 annual net rent. Owner-occupiers can then take possession of part or all of the property, and either lease or sell off any unoccupied titles.

“Alternatively, add-value investors can lease the site to one or more tenants, or sell some titles while retaining others in their investment portfolio.

Located only 500m from Papakura’s main commercial centre and railway station, the property is close to the Takanini commercial and industrial precincts and within minutes of multiple modern residential developments.

Goldfinch says the property is well positioned on Porchester Rd – a main arterial route that connects Papakura to Takanini. “The offering is essentially a pocket industrial estate with entrances on both Porchester Rd and Old Wairoa Rd,” he says.

“A series of warehouses of mixed ages, plus smaller office and retail spaces, offer a total net lettable area of 6018sq m. This is the first time the entire property has been on the market for 40 years.”

The title at 13 Porchester Rd comprises an 872sq m low stud warehouse, originally built in the 1970s for manufacturing, and currently being used for storage.

The neighbouring title at 15 Porchester Rd offers a 241sq m retail unit with direct road frontage. The remainder comprises a 575sq m warehouse, 260sq m of amenities, and 577sq m of first-floor office accommodation, above a covered car park.

The title at 5 Old Wairoa Rd, developed in the 1980s, comprises a 160sq m industrial workshop with 813sq m of low stud warehousing at the rear and 54sq m of office and amenities.

The adjacent title, at 7-9 Old Wairoa Rd, comprises two warehouse buildings.

The 1178sq m warehouse at 7 Old Wairoa Rd has 109sq m of office space over two levels, 68sq m of mezzanine storage, and a 56sq m canopy. The 999sq m warehouse at 9 Old Wairoa Rd is of more recent construction. It offers a 6m stud and 56sq m of canopy, and can be accesses via two roller doors.

Vincent says tenant Bed, Bath & Beyond is New Zealand’s largest and only specialist linen and manchester retailer. It began in 1995 and today comprises 57 store nationwide,” he says. “Having outgrown its current facility, it is now is now putting the entire site up for sale.”