Prominent office, warehouse opportunity in Onehunga
A two-storey office and warehouse building in the rapidly gentrifying Auckland suburb of Onehunga offers buyers the chance to acquire an asset with growth potential and long-term upside.
15 Church St, Onehunga, has 1594sq m of total building area and is zoned Business– Mixed Use under the Auckland Unitary Plan.
The building, which offers eight dedicated on-site carparks, is occupied by two established tenants, providing $144,534 plus GST in total net annual rental income.
Strategically located, the site is on the cusp of a popular residential and commercial block and offers access to public transport and the motorway network.
Colliers brokers Gawan Bakshi, Ned Gow and David Burley have been appointed to market the property for sale by deadline private treaty closing at 4pm on 29 June, unless sold prior.
The ground floor area of the building is slightly larger with an additional eastern rear entrance from Church St.
Two separate office spaces front Church St and an expansive industrial space sits at the rear of both levels. The upper industrial level is serviced by a lift providing effective logistics between levels, while both levels have generous stud heights.
Long-time tenant Wentworth Distributors NZ are nearing the end of a 15-year lease and have one further right of renewal for three years.
That can be enacted on 1 November 2022 leading to a final expiry of 31 October 2025.
Footprint Design and Print is the other tenant with a final expiry on their lease of 30 May 2025.
Bakshi says the property will hold significant appeal for owner-occupiers, investors or developers given the potential of the site.
“The property offers flexibility for buyers who may choose to add-value through new tenancy agreements in 2025 or eventually reposition the building,” Bakshi says.
“Alternatively, an owner-occupier may enjoy the steady rental stream before utilising the property for their own venture given the existing functionality and impressive office to warehouse ratio.
“Onehunga remains a tightly held area for commercial properties and the turnover of sites during the past year has been incredibly low.”
Gow says the mixed-use zoning will be attractive for prospective purchasers.
“The Business–Mixed Use Zone is typically located around centres and along corridors served by public transport. It also applies to areas where there is a need for a compatible mix of residential and employment activities,” Gow says.
“The zone provides for residential activity as well as predominantly smaller scale commercial activity that does not cumulatively affect the function, role and amenity of centres.
“This means buyers who are considering this property for future development will have a wide range of options at their disposal as Onehunga continues to evolve.”
Burley says the site is surrounded by a range of local amenities.
“Onehunga has become a hot spot for investment with rapid gentrification and new infrastructure quickly changing the dynamic of the suburb,” Burley says.
“New retail businesses, apartment developments, and general upgrades are visible throughout the area. A changing demographic has demanded a higher quality of retail and services in the suburb, which has led to the establishment of popular local cafes and bars.
“The property offers excellent accessibility from Church St and is only a short drive from State Highway 1 and State Highway 20, while Auckland’s CBD can be reached within 15 minutes.”