Rare chance to buy hands-off office
An outstanding opportunity to secure a hands-off suburban office property in the heart of the affluent suburb of Te Atatu Peninsula in Auckland is now on the market for sale.
530 Te Atatu Rd comprises a standalone property occupying a prominent town centre site with an underlying 817 sq m freehold title.
The two-level building delivers a net lettable area of just over 318 sq m across two separate tenancies with a total of 13 carparks and is fully leased to a mix of established businesses on new six-year leases.
The original building was built in the early 2000s, while in 2014 an extension was built on the rear half providing for an additional 14 upper level office suites.
The building is presented to the highest standard with a quality internal fit-out that includes full amenities.
JLL has been exclusively appointed to market 530 Te Atatu Rd for sale by deadline private treaty closing at 4pm on Wednesday 23 June, unless sold prior.
JLL senior broker Jason Armstrong says commercial properties in this area rarely come available.
At the time of this publication, there is zero commercial vacancy advertised.
“Strategically positioned at the entrance of this town centre across the road from the recently completed development The Point as well as the Countdown supermarket, this main road property benefits from high traffic volumes daily which provides great exposure and ease of access,” Armstrong says. “530 Te Atatu Rd offers purchasers an attractive location, a long and secure lease structure, sound asset fundamentals, high tenant quality, and future redevelopment potential.
“While funding by banks has been very tough on lower-quality buildings which do not have strong tenant covenants or with other considerations such as NBS and asbestos, 530 Te Atatu Rd mitigates any risk with all the positive attributes you would seek as a passive investor,” Armstrong says.
JLL senior broker Alex Wefers says opportunities to secure passive investments like this within a substantial growth area seldom come available.
He describes the area as arguably one of West Auckland’s most attractive suburbs.
“Te Atatu Peninsula is surrounded by water with the tight community benefitting from a very unique location and a village with a special character like nowhere else in Auckland,” says Wefers.
“The Te Atatu Peninsula area has seen considerable residential and commercial growth in recent years driven by increased interest in high-density developments due to its close proximity to the North Western Motorway, offering convenience for commuting to the CBD and North Shore.
“With its location, Business town centre zoning, and the height variation overlay for a potential build height up to 18m, the property offers a high land value component with significant redevelopment potential in the future.”