More New Lynn retail units for sale
Five new retail units in Merchant Quarter, at the centre of New Lynn, are on the market following the successful sale of the first tranche of units. Colliers International is marketing the freehold units at 28- 42 Totara Ave for individual sale by auction next Wednesday unless sold earlier.
The affordably priced units, three of which are tenanted by national brands, are all signed to long- term leases with built- in rental growth and bank guarantees.
Colliers broker Tony Allsop, who is marketing the units with colleagues Josh Coburn and Cherry Higginson, says the new round of auctions follows the successful sale of seven units over the last month.
“Four units have sold at auction, two by private treaty, and one off the market, with sales prices ranging between $ 456,789 million and $ 2.55m,” Allsop says.
“The yields ranged between 4.43 per cent and 6.87 per cent, which demonstrates just how affordable these investments are.
“Demand was so strong that the developer has decided to push ahead with the sale of this second tranche of units ahead of Christmas.
“We’re expecting strong bidding at auction, so don’t miss out on the chance to add one or more of these attractively priced investments to your portfolio ahead of the new year.”
The units for sale have been newly developed by Infratil, which partnered with Auckland Council’s urban regeneration agency Panuku to enable the revitalisation of New Lynn’s former transport hub.
“The Merchant Quarter development was built over two stages and completed in September,” says Allsop. “The development comprises a ground floor retail complex, an apartment tower, and a four- level car park with three levels of apartments on top.
“The attractive, modern retail units for auction benefit from excellent street frontage with aluminium joinery and floor to ceiling toughened glass.”
Ranging from 90.71sq m to 217.71sq m, the units return net passing incomes of between $ 34,527 and $ 73,236.83 per annum.
Coburn says Unit A, tenanted by Mexicali Fresh, comprises 217.71sq m with street frontage to McCrae Way.
“Mexicali Fresh is a casual Mexican eatery serving authentic California- style tacos, burritos and other favourites,” he says.
“The unit is on a 10- year lease with a six- year right of renewal, returning $$ 73,236.83 a year.”
Unit D, tenanted by Bay Audiology, comprises 103.22sq m fronting McCrae Way. “Bay Audiology is a New Zealand company specialising in hearing healthcare services and products, with more than 95 clinics throughout the country,” Coburn says. “The unit is on a four- year lease with a four- year right of renewal, returning $ 36,849.54.”
Unit J, comprising 105.36sq m fronting Totara Avenue, is tenanted by the Tian Lan Chinese Medical Centre.
“The practice specialises in a range of different Chinese therapeutic methods including acupuncture, acupoint, cupping, moxibustion and deep tissue massaging,” Coburn says. “The unit is on a six- year lease with a six- year right of renewal, returning $ 37,100 a year.”
Unit K, tenanted by discount shop
2 Buy, comprises 110sq m fronting Totara Avenue. The unit is on an eightyear lease with two three- year rights of renewal, returning $ 37,950 a year.
Coburn says the final offering, Unit M, is tenanted by Esquires. The
90.71sq m unit fronts Totara Ave and is signed to an eight- year lease with two six-year rights of renewal, returning $ 34,527 a year.
“First established in New Zealand in 2002, Esquires is the fastestgrowing coffee house franchise in the country,” Coburn says.
“Esquires recently launched the new Esq brand, which aims to set the standard in delivering freshly made in- store food and improved organic Fairtrade coffee.
“The Merchant Quarter outlet is among 28 new Esq stores nationwide, with further openings planned.”
Higginson says Merchant Quarter is located in the heart of New Lynn’s growing commercial centre.