Bank buildings a ‘safe’ investment
Bank buildings in the high streets of three provincial New Zealand towns are now for sale.
All three high profile properties — two in the North Island and one in the South — are currently tenanted by a leading retail bank. Each one features in
Bayleys’ latest Total Property portfolio magazine.
In the North Manawatu township of Feilding, the Heartland Bank branch, at 83 Fergusson St, is being marketed for sale by tender through Bayleys Palmerston North, with tenders closing at auction, at 4pm on June 14.
Bayleys Palmerston North salesmen Karl Cameron and Lewis Townshend say the 370sq m bank building has a 65 per cent New Building Standard (NBS) rating, and sits upon 403sq m of land.
Cameron says the well-presented freehold property has been occupied by Heartland for four years, having a three-year-lease which expires in 2020, with two further two-year
rights of renewal. As well as Heartland Bank, the building is tenanted by fashion retailer Shanton, which now operates on a lease expiring in 2021 with one further three-year right of renewal and one six-year right of renewal.
Combined, the two tenants generate a net rental of $53,000 plus GST per annum.
In Levin, the BNZ branch in 213 Oxford Street is being marketed for sale at auction at 11am on June 28 through Bayleys Wellington.
Salespeople Stephen Lange and James Higgie say fashion retailer Postie and power distribution lines maintenance company Electra are also tenants in the 1400sq m building listed for sale.
BNZ Bank is on a three-year lease expiring in 2021 with three further three-year rights of renewal — generating a net rental of $63,932 plus GST per annum.
Postie is on a lease expiring in 2020 and generating a net rental of $61,653, while Electra is on a monthto-month lease paying net rental of $6020 per annum for a small storage unit in the building. Lange says the central location means the retail tenants enjoyed high public visibility and foot traffic.
In the Canterbury township of Amberley, the land and buildings at 113 Carters Rd housing the town’s Westpac branch, goes up for auction at 11.30am on May 31, through Bayleys Canterbury. Salesmen Nick O’Styke and Ben Carson say the 248sq m bank building has a 71 per cent New Building Standards rating. It sits on a 1012sq m site in the middle of town.
O’Styke says the freehold property has been occupied by Westpac bank for 16 years, and is now on a threeyear lease expiring in 2020, with a further three-year right of renewal.
It generates a net rental of $61,650 plus GST per annum.
Carters Rd forms part of the national State Highway 1network.