Warehouse offers investors stake in Hawke’s Bay
A new multi-unit industrial warehouse facility in prime position in the Hawke’s Bay’s leading industrial growth hotspot has been placed on the market for sale.
The property in the Omahu Road industrial precinct, on Hastings’ northwestern outskirts at Frimley, is being offered for sale with all of the building’s eight units leased back to the vendor, Havelock North-based Aristotle Holdings Limited.
Two separate leases will generate total net rental income of $176,000 plus outgoings and GST per annum.
The vendor will continue to occupy two units totaling 214 square metres under a three-year lease running to 2023, with a further three-year right of renewal – paying net annual rent of $34,240 plus outgoings and GST.
The six remaining units, with a combined floor area of 928 square metres, are offered with a two-year vendor leaseback, generating $141,760 plus outgoings and GST per annum.
The property at 822 Omahu Road is now being marketed for sale by deadline private treaty closing on 14 October (unless sold prior) through Bayleys Havelock North. Salespeople Jake Smith and Daniel Moffitt said the property consisted of a warehouse of some 1,160 square metres (more or less) on approximately 1,600 square metres of flat, industrial-zoned land.
Mr Smith said the site included a common area of some 440 square metres at the front of the premises offering parking and access to all units.
“These well-constructed units are newly built from timber and concrete tilt slabs. A clear-span configuration with a high stud of 5.5 metres at the front to seven metres at the rear lends itself to versatile uses – possibly allowing the future addition of a mezzanine floor, subject to council approval. All of the units are accessible via generous 4.5-metre roller doors,” said Mr Smith.
Units 1 and 8 each have a floor area of 250 square metres and the remaining six units offer 107 square metres of floorspace.
The building at 822 Omahu Road was completed earlier this year with an Initial Evaluation Procedure rating of 100 percent of new building standard.
The site, on the southern side of Omahu Road, is zoned General Industrial under Hastings District Council’s district plan. This zoning allows for a range of industrial activities as well as ancillary retail sales and offices plus other uses such as service stations and food premises. Mr Smith said neighbouring properties were home to a diverse range of businesses such as automotive services, agricultural machinery and engineering supplies, technology firms and horticultural services.
“Just to the north, there is an expansive horticultural area which incorporates multiple orchards and wineries. Nearby amenities include a Gull service station on the next property and Hawke’s Bay Hospital about a kilometer to the southeast,” Mr Smith said.
Mr Moffitt said the Omahu Road industrial area was poised for further growth after Hastings District Council passed a planning variation to rezone land on the northern side of the road for industrial activity. “The rezoning means some 63 hectares is now available for industrial land use. This is expected to drive major new development over the coming years and this will further cement this area’s status as a leading industrial hub for the region,” he said.
“Omahu Road is a busy arterial route leading directly into the Hastings central business district which is home to a wide range of amenities.” The property for sale is located 50 metres from the Hawke’s Bay Expressway, providing easy access to State Highway 2.