Queenstown industrial offering with holding income & development options

Colliers International has been exclusively appointed to market the property for sale by deadline private treaty closing at 4pm on Friday 25 October, unless it sells earlier. Located in the tightly held Frankton Flats, the property at 56 Grant Road contains two brand new industrial buildings with three strong tenant covenants. Occupying the front third of the site (approx. 1541m²) the high stud warehouse buildings are occupied by national tenants Noel Leeming, Briscoes and Bingo Trucking returning a total rental of $178,150 per annum plus GST plus OPEX with built in increases and renewals. Managing director Alastair Wood says the offering will appeal to investors looking to secure an asset with good income, strong tenancies with build in growth and future development options on the circa 2500m² of excess land area.

“This property is unique in that it offers an array of investment fundamentals, including strong tenant covenant, quality new construction, and the added benefit of vacant industrial land giving added options for purchasers. They may choose to further develop or alternatively use as a depot or yard and enjoy the existing income from the front developed buildings.” “Tightening vacancy rates and land supply in the Frankton area indicate strong rental and capital growth prospects for the future. Industrial-zoned land in particular is in short supply, creating strong occupier demand for the few remaining sites and premises.” The vacant land to the rear of the site contains a generous area of approximately 2510m² in the heart of Queenstown’s developing industrial hub. Broker Tim Thomas notes the location, on a freehold site adjoining to the rear of Five Mile Shopping Centre and near the new Queenstown Central mixed-use retail and commercial development, will be a major draw card.

“Access to the area has recently been improved with the completion of Hawthorne Drive, which now connects Remarkables Park and Queenstown Airport with Grant Road and State Highway 6.” “The location provides good access to the nearby Queenstown Central development, and Queenstown CBD, some 8km away via SH6.” The sale of 56 Grant Road represents a rare opportunity to acquire a tightly held Queenstown industrial landholding with national tenants, stable income and future potential value-add opportunities.