MoMo anchors Penrose light industry property
A fully leased Penrose building is up for sale offering just over $200,000 in annual rental income.
Standing on a 1627sq m Light Industry-zoned site at 14 Greenpark Rd, the premises offers a mixture of warehouse, workshop and office space over two levels, with a small third level now used as a studio apartment.
Originally subdivided into seven units, the 1451sq m property accommodates four tenants, the anchor one being the MoMo Tea restaurant group. This operates a chain of food and beverage outlets around Auckland offering a variety of Asian cuisine and teas. It occupies more than 80 per cent of the property’s floor area and has a six-year lease from March 2017, with two six-year rights of renewal which if exercised would take its lease through until 2035.
The lease now generates net annual rental income of $173,887net.
Three other smaller tenancies on a variety of lease terms occupy the balance of the building which has an Initial Evaluation Procedure (IEP) seismic assessment of 71 per cent of New Building Standard. The property’s total net annual rental income is $201,140net.
The property is being marketed by Bayleys’ Millie Liang and is featured in the latest Total Property portfolio. It will go to auction at 11am on, August 8 Auckland unless sold earlier.
“Here’s an opportunity to acquire an investment property in this popular central Auckland industrial location with very little vacancy,” Liang says. “The fact that it could be converted back to (up to) seven separate tenancies with their own entrances increases its attractiveness and flexibility as a long-term investment proposition.”
MoMo Tea’s head office is located in the eastern part of the second floor of the building. The majority of this space has been recently renovated and enjoys good natural light.
There is an open plan area and partitioned office and meeting rooms with a combination of carpeted and laminated timber floor coverings and has a gym and storage area. The western section of the first floor is utilised for storage. There is a mix of workshop, storage, office and showroom space on the ground floor. Food grade premises include a commercial kitchen, chillers and freezers and a cool store with multiple roller door access and a spacious loading area. The property is on a rear site on the southeastern side of Greenpark Rd, near its juncture with Great South Rd.