Seaview site ideal for add value development
An aerial view of development site for sale at 19-25 Seaview Rd, Lower Hutt – identified by blue border line.
An outstanding, add-value development site on one of Lower Hutt’s highest profile corner locations is being described as “a property with a twist” by brokers.
Tim Julian, Aaron Leech and Rick Stace of Colliers International Wellington are marketing 19-25 Seaview Rd in the industrial precinct of Seaview for sale by deadline private treaty closing at 3 pm next Thursday March 19 unless it sells earlier by negotiation.
“With an excellent holding income of $474,000 plus GST per annum, and a prime corner position, this will be very attractive to add-value investors, developers and owner occupiers alike,” Julian says.
The freehold property encompasses 2400 sq m of vacant space a land area of 14,565 sq m including 10,000 sq m of warehouse, factory and office space on one of Seaview’s most prominent sites.
“More than 23,000 vehicles pass this site with dual street frontage daily, so has excellent potential for trade supply and quasi-retail uses, or for any other industrial user seeking brand profile.”
Julian says the property could be refurbished on a tenancy by tenancy basis - enabling a new owner to retain income from the balance of the site while upgrading work is progressed.
“Two of the existing leases have termination clauses for the purpose of redevelopment,” he says.
“Gracefield and Seaview represent the largest industrial precinct in the Wellington region with this area having excellent take-up of space during 2014 when the vacancy rate fell from eight per cent to five per cent,” Julian says
“Colliers is working with a number of tenants struggling to find suitable industrial space. It is likely that design build projects will emerge over the course of 2015, and will be completed at rentals which reflect replacement cost. These will be much higher than current rents for existing stock, and will also be a catalyst for rental growth throughout the market.”
Julian says the vendor realises that the buildings on the 19-25 Seaview Rd site will need a makeover and expects the successful purchaser to pay a price that reflects this.
“The successful buyer will probably be the one who works out the most creative way of refurbishing and rationalising the buildings to match their prime location,” he says.
The tenants include: Thermosash, manufacturers of window glazing and curtain wall systems; Merje, manufacturers of a range of products including stadium and auditorium seating; New Zealand Car Parts; Seaview Blasting; and a church that occupies the free-standing office building on site.
A range of buildings occupy the site, many with gantry cranes that date from the early 1940s to the 1970s. Originally built by William Cable and Co, the site was subsequently owned and occupied for many years by Ajax Fasteners which added a number of structures in the 1970s.