Quality Takapuna office building gets the tick

12:35 AM Monday September 9, 2019 True Commercial

Two-level office block in the heart of Takapuna returns $156,000 in annual rent. Photo / Supplied

A multi-tenanted office in the heart of Auckland’s Takapuna is for sale with excellent growth potential and future development options.
The high-quality, two-level property at 15 Anzac St comprises a 666sq m office building with six established high-profile tenants.
It sits on an 875sq m site with favourable Business Metropolitan Centre zoning, which allows for intensive Mixed-Use redevelopment in the future. 
The property is being offered  as a fully leased freehold investment returning $156,346 in net annual rent, income considered to be well under current market rates.
It will go under the hammer at Colliers International’s North Shore auction room at 11am on Wednesday  September 25, unless sold earlier.
Director Euan Stratton says it is an opportunity to acquire a split-risk investment that ticks all the boxes as a long-term hold.
“With an enviable central Takapuna location and strong underlying land value, this property is sure to appeal to investors, developers and land bankers alike,” he said.
“It offers multiple income streams from various tenancy sizes, providing split-risk rental returns for investors or holding income for developers. 
“The zoning, location and flat contour of the site make it ripe for future redevelopment, especially given Takapuna’s significant amenity and affluent surrounding catchment.
“The property is only 15 minutes’ drive from Auckland’s CBD and handy to many cafes, bars, restaurants, public car parking, a movie theatre, gyms and the Shore City Mall shopping centre. “All of this amenity makes the property particularly well suited to a Mixed-Use residential redevelopment, perhaps with retail and office components on the lower floors.
“Commercial properties rarely come to the open market in this tightly held area, making 15 Anzac St an ideal opportunity for savvy investors.”
Matt Prentice, director at Colliers North Shore, says the property enjoys huge exposure to Anzac St,  a busy arterial linking the Northern Motorway with Takapuna’s commercial precinct.
“The property is positioned opposite the central Takapuna car park and halfway between the main intersection roundabouts at Hurstmere Rd to the north and Lake Rd to the south. It is only a short walk to Takapuna Beach.
“Demand for property in the area has long outstripped supply and vacancy is at an all-time low.”
The property’s overall design is functional and features accentuated beams and a tiled mansard fascia.
There are two office suites on the ground floor and five suites on the first floor, two of which are occupied by a single tenant.
The building is centrally located on the site to provide excellent natural light to all sides and allow drive-around vehicle access to 14 on-site carparks.
The site itself provides 19.26m of street frontage and has been levelled to a small retaining wall at the rear boundary. The building is constructed of concrete foundations and floor slabs, concrete block walls and aluminium joinery.
The upper floor is cantilevered out over the ground floor to provide a larger floorplate. Both floor plates are essentially rectangular, with a common entrance foyer and service area positioned towards the front third.
The ground floor suites are occupied by AIB Group Insurance and NZ Family Planning.
The upper floor suites are occupied by the North Shore electorate office, AMD Chartered Accountants, With Accounting Limited and Phillip Lee Law.
The tenants pay between $10,505 and $47,926 in net annual rent, including car parks at $25 each per week. Rental rates range from only $175/sq m to $224/sq m.
The lease terms range from two to six years, with final expiry dates between August 2023 and November 2029.
The site’s Business Metropolitan Centre zoning is second only to the city centre in overall scale and intensity. It allows for a wide range of uses including commercial, retail, residential and accommodation.