New industrial building boasts blue-chip tenant in Tauranga
A newly built trophy asset with a bluechip tenant signed to a long-term lease in the sought-after industrial hub of Tauriko in Tauranga will appeal to buyers looking for a prime passive investment.
345 Matakokiri Drive, Tauriko, is nestled in Stage 3 of Tauriko Business Estate and with construction set to get under way, the building will provide
1629sq m of office and warehouse space, subject to final measure, on a
3044sq m Industrial-zoned freehold site.
Road Science, a subsidiary of Downer NZ, has committed to a
20-year lease. The rental income from the property will be $335,031 plus GST and operating expenses, plus additional fit-out rental.
The building has been designed and developed by iLine Construction to suit the tenant’s needs. Building materials, fixtures and services will be of a high standard and it will be built to 100 per cent NBS.
The property sits in a cul-de-sac head and the site benefits from convenient access as traffic movements are more moderate and easier to circulate. There is also generous carparking on-site.
The eastern boundary overlooks a low-level floodplain, creating a pleasant green backdrop for occupiers to enjoy. The motorway network can be easily reached from the property.
Colliers brokers Rachel Emerson and Duncan Woodhouse are marketing the property for sale by deadline private treaty closing at 4pm on Thursday 3 November, unless sold prior.
Construction is set to commence once Tauranga City Council has processed the building consent.
The building will be constructed out of precast concrete and structural steel.
The striking office has been architecturally designed and will be clad with a mix of woodgrain precast concrete and Dimond Heritage Tray steel cladding. The property will include a
10sq m deck, 82sq m canopy and a
430sq m yard.
Emerson says high-calibre properties of this nature are rarely presented to the open market. “The new owner of this outstanding asset will be able to enjoy a steady rental stream from a newly built property.
“The length of the lease shows the commitment of Road Science to this site and there is also built-in rental growth with five-yearly market reviews and 2 per cent annual increases (unless it’s a market rent review date).”
Woodhouse says the Tauriko Business Estate has experienced continued demand as the area has developed.
“Businesses and investors are drawn to the Tauriko Business Estate for its high-quality new buildings, national brand neighbours, and the ease of access around the region and further afield.”