Tenant well entrenched in East Tamaki property
An elevated view of the industrial and office property for sale at 55 Greenmount Drive, East Tamaki.
A versatile East Tamaki office and warehouse with a long standing, committed tenant is for sale for the first time in more than 20 years.
The 2345 sq m standalone industrial building on a 4197 sq m freehold site at 55 Greenmount Drive, East Tamaki, is to be auctioned at 11 am on Wednesday December 9 at Colliers Internationals’ auction room at 52 Highbrook Drive, Auckland, unless it sells before auction day by negotiation.
Agent Paul Higgins who, with colleagues Greg Goldfinch and Jolyon Thomson, is marketing the property, says the tenant is New Zealand company Hydestor Manufacturing Ltd which has leased the property since 1991..
“After nearly a quarter of a decade, the tenant is well-entrenched in the site and has made significant capital improvements, including enhancement of the warehouse,” Higgins says.
Hydestor Manufacturing develops, manufactures, supplies and installs adjustable, powder-coated steel shelving systems and accessories, and has been exporting throughout Australasia and Asia for the past 20 years.
“The company first arrived in East Tamaki when it was still predominantly rural land, making it one of the original tenants in the area. Hydestor Manufacturing is now a well-known and respected entity in the East Tamaki precinct,” says Higgins.
The property has a net lettable area of 2345 sq m and generates $240,000 annually in net income plus GST, which is reviewed every two years and is currently under review.
“The 12 year lease agreement runs until mid-2018 and Hydestor Manufacturing has indicated it is content to remain there.”
The building, comprising 424 sq m of offices and amenities, and a warehouse and factory area totalling1920 sq m, benefits from 40 metres of road frontage giving it exceptional exposure.
Goldfinch says one of the property’s key features is the extensive concrete yard area. “It extends across the front of the building and down the northern side to the rear and provides access for heavy vehicles as well as on site car parking, adding to the future versatility of the property.
“Beyond the current tenant’s intentions, the property is a very strong, mid-grade facility with functional design features that future proof the premises making it suitable for a range of mid-level businesses and operators.”
A street level view of 55 Greenmount Drive.
Goldfinch says an Initial Evaluation Procedure (IEP) assessment gives the property an overall seismic rating of 100 per cent of New Building Standard (NBS).
Entrance to the building is through an angled set of doors in the front facade which open to the reception area and onto eight partitioned offices with male and female toilet facilities.
The first floor is accessed by the ground floor reception and has more partitioned offices, a store room, boardroom and open office space.
The warehouse has a 5.8 metre stud height at the knee and is accessed via two roller doors, one located at the front facade and the other at the rear of the building.
Currently zoned under the District Plan as a Business 5, the Proposed Auckland Unitary Plan (PAUP) classifies the site as Light Industry permitting light industrial activities..
Greenmount Drive is a well-established industrial road linking Harris Rd to Ti Rakau Drive – both of which are main arterial roads.
Thomson says Auckland Council has identified East Tamaki as “Auckland’s industrial business engine.
“The precinct is situated in a key strategic location, with good road linkage to the southern section of the State Highway One motorway via the Highbrook Drive interchange providing effective links to the airport, port, CBD and other business areas within the region.
“Access to nearby industrial areas such as Manukau City and Mt Wellington are within minutes’ driving and the property has excellent access to the wider East Auckland.” The Botany Town Centre is nearby providing a wide range of goods and services.
(From left to right) Paul Higgins, Greg Goldfinch, and Jolyon Thomson, of Colliers International.