Mt Wellington Tech base for sale and leaseback
New Zealand tech component supplier Fero is putting its Auckland headquarters up for sale and leaseback as it looks to continue its offshore expansion. The family-run business has appointed Colliers International to market its 2180sq m office and warehouse facility at 4 Rakino Way, Mt Wellington. The freehold property, featured in the latest Colliers Portfolio, is for sale by deadline private treaty closing at 4pm on September 12, unless sold earlier. It is signed to a new six-year-lease to Fero, with two rights of renewal of three years each extending the final lease expiry date to 2030.
The new owner will be able to draw on $291,504 in net annual rental income, with fixed annual rental increases of 2.5 per cent.
Colliers’ Ben Herlihy and Josh Franklin are offering the sale and leaseback opportunity to the market. Herlihy says it is an exciting opportunity to invest in a well-located property with excellent tenant covenant and locked-in rental growth.
“This is a chance to build upon the success of a long-established New Zealand company that is continuing to expand offshore.”
“Located in the tightly held Mount Wellington industrial precinct, the property is minutes from St H 1, offering superb connectivity to CBD, port and airport. It comprises a versatile high-stud warehouse, along with two levels of office accommodation and a generous yard.
Franklin says the functional industrial property was constructed in 1987.
“The versatile 1446sq m warehouse, which has a stud height of 5.5m at the knee, accommodates storage, manufacturing and assembly areas.
“Access to the warehouse is via two roller doors that open onto a yard at the front, which provides ample off-street car parking.”
Franklin says the office accommodation, split across two levels of 367sq m each, provides flexibility for the current user and futureproofs the building.
“The open plan ground floor office is currently configured as a workshop space, with adjoining amenities and internal double doors at the rear providing access to the warehouse.
“However, it could be used as showroom or office space in the future.
“The first floor comprises partitioned offices, a boardroom and amenities, with open plan office space in the centre.
“A reception area is situated at the main stairway entry.”
The property is on a 4500sq m site split with the adjoining property at 6 Rakino Way.
It is zoned Light Industrial, which allows for a range of uses including manufacturing, logistics and distribution.
Franklin says tenant Fero Limited has been in operation for 16 years. Fero was established as a merger between TradeTech, which was founded in 1987, and Wire Solutions, founded in 2002.
The company subsequently sold TradeTech and now focuses solely on providing manufacturing solutions for the tech sector.
“Fero offers integrated wire technology, component supply and production solutions for manufacturers in the tech sector.
The business is well established, with more than 130 staff across New Zealand and Samoa.
“As well as stocking a range of components and cables, the company specialises in contract manufacturing, assembly and processing of wire related products.”