Refurbished, long-term tenants in city fringe
A prominent three-level office and warehouse building in the popular Auckland city fringe suburb of Eden Terrace offers prospective purchasers the opportunity to acquire a premium grade investment with a very strong tenant profile.
26-32 Virginia Ave East, Eden Terrace, offers
2662sq m of total building area on a 1541sq m freehold site zoned Business–Mixed Use under the Auckland Unitary Plan.
The property, on a corner section, is home to three established tenants — OCS NZ, Life Plus and Alexander & Co, all signed to long-term leases with a weighted average lease term of just over five years.
The total annual passing income is approximately $760,218 plus GST (net of outgoings), while there are
53 carparks available on-site providing an attractive
35:1 office to carpark ratio rarely found in the area.
The property, less than 2km from Auckland’s CBD, has recently been refurbished by Cassidy Construction to appealing modern standards.
Mt Eden train station, which will be a key stop on the City Rail Link when it opens in 2024, is nearby, alongside a range of bus routes, while motorway access is available within minutes.
Colliers brokers Jonathan Lynch, David Burley and Gawan Bakshi have been appointed to market the property for sale by deadline private treaty closing at
4pm on Thursday 30 June, unless sold prior. Originally constructed in 1998, the property has a
75 per cent NBS rating and comprises two levels of office and a ground level warehouse with associated car parking.
It offers excellent exposure to both Minnie St and Virginia Ave East and sits elevated with uninterrupted north, west and eastern views, never to be built out, providing further attractive development options under both the current zoning and the proposed National Policy Statement on Urban Development Plan.
Anchor tenant OCS, a nationally renowned facilities management services firm, leases 961sq m of office space, the 729sq m warehouse, 34 carparks and has naming rights for the building.
It is signed to a nine-year lease that expires in November 2028 and provides $465,000 plus GST in net annual rental income.
Healthcare sector recruitment company Life Plus leases 550sq m of office space and 72sq m of shared space, plus 13 carparks, as part of a four-year lease that expires in June 2025.
It has one further right of renewal for two years and the lease provides $187,696 plus GST in net annual rental income.
Building science specialists Alexander & Co lease the 310sq m Level 3 office and 40sq m of common share space, alongside carparks and storage lockers.
This lease has a new three-year term that expires in July 2025. It provides $107,521 plus GST in net annual rental income and has two rights of renewal for one year each.
Lynch says the property presents buyers with a compelling passive investment opportunity.
“Our vendor has completed an immense transformation of this building and it is in excellent order following its recent refurbishments, providing a future owner with completely ‘stress-free’ ownership.”