Big capital gain potential at Te Rapa
djoining land parcels for sale in Te Rapa, Hamilton, offer a land bank opportunity with strong potential for industrial development, say brokers.
The three free- hold titles — at 40, 50 and 58 Hutchinson Rd — are being marketed by Simon Felton, Tony Allsop and Justin Oliver of Colliers International.
They are for sale individually or together by deadline private treaty, closing on Wednesday, December 7.
The sites, now earmarked for future industrial zoning, provide a total area of just over four hectares in the developing locality of Te Rapa North.
Their likely price range i s in a much lower bracket than sites in the longer- established industrial precinct of central Te Rapa, meaning the land holds significant potential future value, says Felton.
“These sites offer a lot of long- term upside. The speed at which Te Rapa has developed as Hamilton’s main industrial precinct, and the excellent transport links this area provides between Hamilton and Auckland, means real potential for future capital gain.”
Economic growth continues to support the expansion of the industrial sector, with the medium term outlook very positive, says Oliver.
“The logical path of future industrial development in Te Rapa is along Te Rapa Rd to the north of the existing industrial precinct. This area offers land availability and excellent access to the Waikato Expressway. The Hutchinson Rd sites are perfectly positioned for future industrial development, making them a key buying opportunity for investors with an appreciation of the longer- term drivers of the industrial market.”
In the locality, these sites fall neatly between the largest sites in the area of between 10ha and 20ha and the much smaller 2000sq m to 5000sq m industrial sites, Oliver adds.
Hamilton has positioned itself as one of the major industrial hubs in New Zealand owing to its central location in the upper North Island, Allsop says. “This is an opportunity to get in now to capitalise on expected future activity in the area.”
Apart from a 190sq m t wo- level building ( currently used as a residence), the sites are undeveloped and mostly flat. The current zoning offers a wide range of uses, with more intensive industrial development possible by obtaining council consent.
The land is across the road from a new industrial development and a BP service centre which opened last year, says Felton. “The BP centre is the last service centre for 50km for traffic heading into and out of Hamilton on the Te Rapa Bypass, making the area the new northern gateway to the city.”
Significant neighbours include the huge Fonterra Te Rapa plant to the south, as well as the in- progress 30ha Ports of Auckland inland port development which is just 1km north of the site and due for completion early 2018. An adventure park i s also planned for a large ex- quarry site next to the BP service centre.
The wider Te Rapa locality is characterised by modern commercial and industrial developments, along with a fast- developing residential area.
The Waikato is the third fastestgrowing region in New Zealand with 6 per cent population growth between 2006 and 2013, according to the 2013 Census.
Hamilton has positioned itself as one of the major industrial hubs in New Zealand owing to its central location in the upper North Island.