Corner site offers future upside
More than half a hectare of land on a busy corner of Wairau Valley’s main road offers a host of future add-value possibilities.
The under-utilised 5778sq m site, at 75 View Rd, at the intersection with Wairau Rd on Auckland’s North Shore, is zoned for potential multilevel development up to 20m high.
It also comes with about 2109sq m of retail, hospitality and office premises with 16 tenancies generating net annual rental of $582,013 plus GST.
The property, a trophy listing in Bayleys’ final Total Property portfolio for the year, is for sale by tender, closing closing 4pm Thursday, December 5, unless sold earlier. It is being marketed by Terry Kim and Ranjan Unka of Bayleys North Shore Commercial in conjunction with Nigel McNeill of Bayleys central Auckland office.
“Large properties with corner exposure on Wairau Rd are highly sought after and tightly held so they rarely come up for sale,” says Kim. “This one is on the busiest part of Wairau Rd, around 500m from the Northern Motorway’s Tristram Ave on- and off-ramps and on the route to nearby Link Dr bulk retail precinct.”
Ranjan Unka says a major point of difference which adds long-term value to the property is its new zoning under the Auckland Unitary Plan as a built environment identified growth corridor overlay.
This zoning applies to a number of significant road corridors, and Wairau Rd is a major arterial route between Glenfield and Takapuna.
“The purpose of this overlay is to provide additional opportunity for retail activities, particularly large format retail, not typically provided for in the underlying zoning which is Light Industry,” says Kim.
“It means this site has more future development flexibility than most properties in the Wairau Valley which have the standard Light Industry zoning. The overlay allows for multistorey development up to 20m in height and a mix of potential uses including retail, hospitality, office, industrial or car dealerships, subject of course to obtaining any necessary resource consents.”
Meantime, Kim says a variety of well-established occupants are producing substantial income for the next owner to enjoy, with the ability to also add immediate value by leasing up two vacant tenancies. This would provide potential additional income of about $60,000pa.
The larger of two separate buildings on the site is generating most of the property’s cashflow.
Built in the 1980s, the 1384sq m premises is occupied by the Wairau Sports Bar, which has a gaming lounge, a neighhouring liquor store and an upstairs karaoke bar, with a 453sq m Asian supermarket at the rear in a former warehouse.
Kim says these tenancies have been in place since the early 2000s. There is also 120sq m of empty ground floor space which would suit food and beverage or retail use.
A separate 918sq m two-level building was added at the rear of the site not long after the current owner acquired the property in 2004. “This provides a good standard of modern commercial accommodation, with retail tenancies on the ground floor and office suites above,” says Kim.
This building has 12 tenancies ranging in size from 40sq m to 117sq m. Ground floor tenants include restaurants, a hair salon, florist and butchery.
The overall site has parking for 88 cars.