Silverdale site is ripe for development

5:00 AM Saturday July 29, 2017 True Commercial

The property at 82 Foundry Rd, identified by a blue border, is leased by the engineering company Pole Specialists. Photo / Supplied

A leased industrial property with rare development potential is for sale in Silverdale.

Colliers International is marketing 82 Foundry Rd by deadline private treaty, closing on August 10, unless sold earlier.

Sam Sherning, who is selling the 5043sq m freehold property with colleague Matt Prentice, says high-profile industrial investments in the Silverdale Industrial Estate seldom come on to the open market.

“With next to no industrial land available in northern Auckland, this is an opportunity to purchase a large landholding with substantial returns and huge future development potential.”

The Light Industry zoned property is tenanted by New Zealand-owned business Pole Specialists Ltd, which has more than 40 years of operating experience.

The company has entered into a new six-year-lease, paying $205,000 net rent per annum, with a further six-year right of renewal. Structured rent reviews allow for rental growth into the future.

Sherning says the property offers excellent profile to Foundry Rd, which extends east off Tavern Rd, to the eastern side of the Hibiscus Highway.

“The property is well located within the Silverdale Industrial Estate, to the south of the main Silverdale town centre,” he says.

“The site itself has a relatively level contour and regular shape, making it suitable for a range of industrial uses.

“Only about 10 per cent of the land is currently built on, allowing add-value investors and developers to make the most of its potential.”

The property has a large 4449sq m yard and a 508sq m building comprising office, warehouse and amenity space.

Constructed in 1997-98, the building has two levels of office and amenities at the front, providing 280.5sq m of space.

A 227.5sq m industrial workshop is attached to the rear.

Exclusive access at the road frontage leads to the yard and 10 open carparks.

Prentice says the tenant Pole Specialists is experienced in pole foundations, slip repairs, retaining, landscaping and structures.

“Established in 1972, the company specialises in using clever solutions to overcome difficult engineering challenges,” he says.

“Pole Specialists has grown steadily with constant innovation and is now working with some of the biggest names in the business.

“The company has strong relationships with councils, engineers and suppliers to ensure projects run smoothly and efficiently.”

Prentice says industrial land in the Silverdale area is limited in supply, making it a key industrial business location.

“Although the immediate area remains an industrial hub, commercial buildings catering to predominantly bulk retail activities have appeared,” he says.

“Other businesses, such as transport and distribution, light manufacturing automotive repairs and limited retail outlets that serve businesses and their employees have followed.”

Prentice says the area’s central location within Silverdale and closeness to major transport routes has allowed it to develop as a key distribution hub.

“A number of dedicated storage and distribution operators are now based in Silverdale together with companies that carry out their own distribution activities.”

The wider Silverdale and Hibiscus Coast area is growing rapidly with a range of new retail, commercial and residential developments.

“Considerable government expenditure on roading and infrastructure has effectively brought the Hibiscus Coast to within a 30-minute drive of the Auckland CBD,” Prentice says.