Southern unit ‘great first investment’
A road-front industrial unit in Papakura offers a perfect “bite-sized” investment for anyone looking to start a commercial property portfolio, say brokers.
Marketing agent Isaac Tankard of NAI Harcourts North Shore Commercial calls the two-level office/showroom and warehouse in Papakura a fantastic entry-level investment opportunity.
The property at 1B Old Wairoa Rd, is to down to be auctioned at 1pm on March 28 (unless sold earlier), at Harcourts’ North Shore Commercial auction rooms.
“Though it could also appeal to someone looking to expand their portfolio; it’s a prime opportunity for a new investor, or someone wanting to move into commercial property from residential investment,” says Tankard. “It has an affordable capital value, in a good location with a reliable tenant.”
The property comprises is 203sq m in total, made up of a 120sq m highstud timber framed warehouse, and
51sq m of ground-floor office and firstfloor showroom space. It also has two car parks.
The warehouse has roller door access in both front and rear, with the rear door opening on to an additional
120sq m exclusive yard. Access to the yard is via a common driveway off Old Wairoa Rd.
The property has a capital value of $330,000, with a land value of $125,000 and improvement value of $205,000. It draws a current rental of $27,600pa net and has outgoings of $4006.
Tenant Pirtek (Counties) Ltd, has been at the property since July 1, 2017, on a three-year lease term with three two-year rights of renewal and two three-year rights of renewal, and a market review at each renewal.
Pirtek is said to be a market leader in fluid transfer solutions across New Zealand.
The site in Old Wairoa Rd is zoned for Light Industrial under the Auckland Unitary Plan, and Tankard says location is one of the property’s biggest assets.
“It’s easily accessible, right in the heart of Papakura, and close to both the railway station and Papakura shopping centre,” he says.
“It’s surrounded by a mix of commercial and rural operators, as well as residential housing.
“Plus, it is less than a minute from the arterial routes of Great South Rd and Porchester Rd.
“It’s perfectly situated to create on-going high demand from potential tenants and future investors,” he says.
“Add to that, the fact that Papakura is undergoing some steady growth thanks to housing demand and zoning changes, and this property stands out as a great investment opportunity, that does not come along very often.”