Prime petrol station in Glen Eden
The prominent freehold site occupied by a Z Energy service station on a 15-year lease has gone up for sale on one of West Auckland’s main arterial routes.
The property at 4155 Great North Rd, Glen Eden, is strategically situated amid a large residential catchment zoned for intensification.
The land and buildings are fully leased to NZX and ASX-listed fuel giant Z Energy. Known as Z Waikumete, the current lease has 15 years to run, with further rights of renewal available which would extend final expiry out to 2053, if fully exercised.
A new owner stands to benefit from net rental income of $315,172 plus all outgoings and GST per annum. An upcoming CPI rent review means the exact amount will be confirmed upon the release of consumer price index figures.
The lease incorporates CPI rental reviews on each third anniversary of commencement, replaced by market reviews on each sixth anniversary including renewal dates.
Shoneet Chand and Caroline Cornish from Colliers are marketing the property jointly with Bayleys’ Bill Lissington.
The property is for sale by deadline private treaty closing at 4pm on Wednesday 28 July unless sold prior.
Chand, investment sales director at Colliers, says the service station sits on approximately 1964sq m of fee simple land with improvements including a retail building, forecourt canopy and fuel storage and supply infrastructure.
“This modern 24-hour service station supplies premium, 91 unleaded and diesel fuels with efficient throughput facilitated by pay-in-app and pay-at-pump facilities, super-long hoses and a fast-fill diesel lane.”
The site is zoned Residential – Mixed Housing Urban under the Auckland Unitary Plan, a reasonably high-density zone enabling greater intensification of development.
The site is part of a masterplanned development undertaken by Matvin Group, known as The Groves.
Alongside 40 terraced homes and apartments, the mixed-use development provided design-led premises for Bestart Childcare, Anytime Fitness Gym, Burger King and eight other commercial tenancies. The project was completed in four stages over three years.
“For commercial property investors seeking a ‘hands-free’ passive investment, 4155 Great North Rd will appeal as an opportunity underpinned by the sheer quality of the tenant and lease,” says Chand.
Lissington notes that Z Energy owns and manages more than 200 service stations, about 160 truck stops, pipelines, terminals and bulk storage infrastructure across New Zealand.
“Steady, reliable cashflow from a high-quality tenant is a key element in a purchasing investment decision that should not be overlooked in this competitive market,” says Lissington.
Cornish, sales and leasing broker at Colliers, says the service station benefits from its strategic position amid a large, established residential community, with numerous car dealers and automotive shops nearby.
“With around 50m of frontage to one of West Auckland’s main arterials, the site enjoys outstanding exposure to approximately 40,000 cars passing daily.
Northwestern Motorway and approximately 14km from Auckland’s central business district.”