Putararu ready for business
Part of the Putaruru Buttermilk Business Park which was once a major sawmill site in the South Waikato township, is now up for sale.
Agents say the 2.9ha property containing 10 buildings, offers would suit retail through to light industrial businesses.
Bayleys Tauranga salespeople Brendon Bradley and Graeme Coleman envisage storage, transport, manufacturing, horticulture, engineering and rural sector enterprises will be among them.
The land and buildings — at 90 Princes St — are being marketed sale by a tender process, closing at 4pm on May 16.
They feature in Bayleys’ latest Total Property portfolio magazine.
Owned by Buttermilk Putaruru, the freehold site has 5718sq m of buildings, which comprise two former administration buildings; a caretaker’s house with storage shed; two older workshops/warehouses and five open pole sheds.
The yards are partly securityfenced.
Bradley says the extensive yard area is suitable for storage or future development. The property has direct access to SH1, plus rail links to major ports.
A holding income for $31,511 is being generated by tenants, who are mainly on month-to-month tenancies. One pays $400 gross a month for timber storage and a workshop; another pays $1000 a month for casual hay storage; Putaruru Toy Library and Art Group pays a token rent of $40 gross a month and the Putaruru Gym has a three-year lease to May 2021 and a three-year right of renewal at net rent of $12,375 a year.
Bradley says individual titles for the business park, which is zoned Putaruru-Business, were issued recently.
Though rating valuations for sites are not now available, South Waikato District Council has indicated they will be in July.
He says the council has a probusiness agenda, providing business support and advice, links to available funding, a smooth transition for businesses moving to Putaruru, a business case manager, and networking opportunities.
Bradley expects the property would sell for upwards of $2 million — equating to about $70-plus a square metre. “Such value for money is only achievable in provincial areas; in metropolitan areas commercial and industrial land starts at about $250 a square metre, then skyrockets upwards in places like Auckland and Tauranga.”
Coleman says there are options to buy neighbouring sites at the business park.
“The entire property was on the market previously as one large site, however Buttermilk Putaruru had subdivided it into smaller titles to provide more affordable lots,” Coleman points out.
“The improving economy means there are opportunities for businesses to move to areas such as Putaruru, where land is more affordable.”