Established tenant in Te Puke investment
A highly visible Bay of Plenty property offers buyers the opportunity to acquire a prime asset with a blue-chip tenant.
29 Queen St, Te Puke, has 990sq m of total net lettable area on a 3642sq m freehold site spread across four titles and zoned Commercial.
Farmlands Co-operative is the established tenant. Its lease agreement provides $175,700 plus GST and operating expenses in annual rental income.
The property has three road frontages and excellent on-site carparking plus yard space, offering convenience to the occupants, customers and suppliers.
Queen St sits on the western perimeter of Te Puke’s town centre and the property is within easy walking distance of Jellicoe St where the majority of the town’s shops, professional and commercial services are located.
Colliers brokers Simon Clark and Rob Schoeser are marketing the property for sale by deadline private treaty closing at 4pm on Thursday 22 September, unless sold prior.
The building was constructed in 2000 and is predominantly situated in the northwestern sector of the site. There is 914sq m of ground-floor retail and warehouse space, as well as 76sq m of mezzanine office and amenities. There is also 54sq m of canopy.
The purpose-built facility, which has been well maintained, includes a fully sealed yard that can be accessed via three vehicle crossings.
Farmlands is the largest buying group of its type in New Zealand, transacting more than $2.5 billion worth of business annually and is listed in the top 20 companies by turnover in New Zealand.
Farmlands recently agreed a new threeyear lease beginning in September with one further right of renewal for three years leading to a final expiry of September 2028.
Clark says the property is a premier passive investment.
“This offering has all of the key fundamentals that buyers are looking for in an investment given there is a longstanding national tenant on a uniquely configured site. There is also a market rent review scheduled for September 2024 that should provide the opportunity for future rental growth.”
Schoeser says Te Puke’s strong local economy is underpinned by a dynamic horticulture sector.
“The Western Bay of Plenty economy bucked the national trend in 2021 as the region experienced 2.8 per cent growth, according to Infometrics, exemplify the potential of the area,” Schoeser says.
“The subject property represents an exceptional investment proposition.”