New building will be trophy investment in Hobsonville
A stand-alone property due for construction in the rapidly developing Hobsonville industrial precinct offers the opportunity to purchase a brand-new building that includes an incoming tenant signed to a long-term lease.
9 Inanga St, Hobsonville, will soon be home to a 2815sq m warehouse and office building on a 4555sq m site zoned Business– Light Industry under Auckland’s Unitary Plan.
Once a building consent has been issued, Kea Property Group will begin construction. Completion is expected in November 2023.
Inanga St is the newest industrial road in the area and runs parallel with Hobsonville Rd, with the site sitting at the end of the cul de sac, facing east.
The incoming tenant is a well-known New Zealand brand, and its initial six-year lease term includes two further rights of renewal for six years each.
The lease agreement will provide $548,560 plus GST in net annual rental income and includes annual CPI reviews plus
2 per cent (capped at a maximum increase of 4 per cent), and a market review on the third anniversary of the lease commencement.
Colliers directors Matt Prentice, Josh Coburn and Jimmy O’Brien are marketing the property for sale by deadline private treaty closing at 4pm on Tuesday 11 October, unless sold prior.
The building will be constructed with function in mind and will feature a 9m stud height to the underside of the portal knee, a clear span warehouse, three roller doors and 400sq m of canopy.
The warehouse will span 2015sq m, while the ground floor office will measure 174sq m and the first floor office will be 226sq m. The property will include 24 dedicated on-site carparks.
Prentice says all the pieces are in place to make this a highly desirable purchasing opportunity.
“With a national brand tenant ready to move in and construction set to get under way imminently, this represents a prime investment for buyers who will have the opportunity to acquire a low maintenance trophy asset in Hobsonville.
“Given the building is being constructed from scratch it will be crafted with the latest materials and Kea Property Group have an excellent reputation for delivering highquality developments. There is also the added bonus of fixed rental growth through the CPI and market reviews.”
Coburn says the building will occupy a prominent roadfront position in an area that is continuing to undergo significant growth. “In recent years a number of large landholdings near the subject property have been developed into industrial subdivisions, including Workspace Drive and Westpoint Drive to the west.
“Hobsonville Point has been heavily developed with new housing, shops, and schools being built to accommodate Auckland’s population growth.”
O’Brien says having the opportunity to purchase a brand-new building with an incoming tenant in a sought-after area that is experiencing continued commercial investment is an opportunity not to be missed.