Industrial site in tightly- held Morningside
A light industrial property in the tightly- held Auckland city fringe suburb of Morningside is on the market with vacant possession.
Colliers International has been exclusively appointed to market 34 Ethel St for sale by auction on November 8. Investment sales associate director Jonathan Lynch says the sale is an opportunity to secure a soughtafter industrial asset in an area with almost no commercial vacancies.
“Morningside has been traditionally occupied by small- scale light industrial users and service retailers,” he says. “However, Mixed Use zoning has encouraged owners and tenants to transition towards a more diverse range of uses. Showroom retailers, cafes, offices and residential are all becoming more and more common.”
Lynch says the 658sq m freehold property has about 562sq m of warehouse and office space. It is one of three similar buildings within a 1976sq m strata- titled development.
“The property is being sold with vacant possession, making it ideal for owner- occupiers, or add- value investors. The medium- stud, clear- span warehouse has a pitched roof and provides about 437sq m of space currently used for storage.
“The property has 125sq m of partitioned offices and amenities, and off- street car parking, including five covered and two open parks.
“This city fringe warehouse i s ideal as is, but also has future potential — given the multitude of possible uses that are permitted under the Auckland Unitary Plan.”
Built in the 1970s, the property has a seismic rating of 70 per cent of the new building standard. “The fit- out includes carpeted flooring, plasterboard walls and a textured plaster ceiling. It benefits from good natural light via windows to all three external walls.”
Investment sales broker Kris Ongley says the Ethel St offering suits a wide range of occupants. The surrounding activity is a mix of light industrial, showroom retail, office and residential apartment development.
“Morningside i s fast becoming Auckland CBD’s ‘ go- to’ suburb for industrial users trying to avoid the squeeze to the suburbs further afield such as Penrose and Rosebank Rd, while taking advantage of a zoning initiative under the new Unitary Plan.”
The property’s flexible Business Mixed Use zoning allows for office, retail, residential and light industrial development up to 18m in height. A 946sq mmodern retail showroom/ warehouse at Unit 4, 35 William Picking Drive, Albany, was sold by WP Properties Ltd to an owneroccupier through joint sole agents Jimmy O’Brien of Colliers International and Marty Van Barneveld of Harcourts for $ 2,765,000, representing a yield of 6.14 per cent. A 1640sq mlarge format retail warehouse, tenanted to trampoline franchise Flipout on a five- year term, and it’s a 3049sq msite at 403 St Aubyn St, Hastings, was sold by Paul Garland of Bayleys Havelock North to a local investor for $ 1.64m and an 8.84 per cent yield.