Earlybird Oyster offers $50k stakes in tech hub
Specialist property company Oyster Property Group has been quick off the mark in offering investors a stake in an award-winning technology and innovation hub in Albany, on Auckland’s North Shore, for a minimum investment of $50,000.
The investment in the large and innovative commercial building, called C:Drive, is through a proportionate ownership scheme and is likely to be the first under way for 2019.
There are 585 investment lots for sale with the aim of raising $29.25 million to put towards the building’s sale price of $50.5m. Oyster bought it from Stride Property, with other funding coming from Westpac.
Oyster said the projected pre-tax cash return for investors was 6.5 per cent for the financial year to
March 2020.
The institutionalgrade building is located at 33 Corinthian Drive in the high-growth suburb of Albany. It was purpose-built for
ASB, its sole tenant, in 2001, and comprised 10,248 square metres over three levels on a freehold site of 2.12 hectares.
It was fully tenanted on a nine-year lease until 2025, with rights of renewal until 2043.
The ASB lease returned $2.97m plus GST in net yearly rent, and fixed rental reviews every three years offered secure rental growth of 2 per cent compounded annually.
Key features were 334 on-site car parks, a gym, a badminton court, an auditorium, and common areas with meeting rooms and a cafe.
Oyster chief executive Mark Schiele said it was likely to be the first syndicated property offered in 2019. The disclosure statement would be available this week.
The large landholding was very well located and the building was significant in size and design, he said. It had won several national and international architectural and innovation awards including the global Architectural Review AR Award.
The syndication scheme was open to a range of investors including retail investors.
Oyster managed a range of retail, office and industrial properties with a combined value of more than $1.5 billion.
Colliers International is marketing the syndication of C:Drive with Oyster. Colliers syndications director Charlie Oscroft said Albany was one of three key areas that the Auckland Council had marked for intensive growth outside Auckland’s CBD. minimum investment lots for sale projected pre-tax cash return for the year to March 2020