Small is big at new breed of micro-units
The rapid sell-down of a new-look multi-unit complex in Silverdale shows emerging demand for “micro-industrial” premises as a new breed of buyers and occupiers turn their hand to commercial property.
In a well-established industrial precinct, the Industry Silverdale development offers something different. Its 74 new industrial units range from a mere 42 sq m to 125sq m.
The Peters Way complex was designed to high-quality standards with maximum flexibility in mind.
Its secure freehold units boast large roller doors, three-phase power and a generous 6m average stud height, along with mezzanine storage and office options. Each unit comes with one to two carparks and the entire development is protected with CCTV security.
The site’s Light Industry zoning under Auckland’s unitary plan supports a broad range of uses including workshops, warehouses, distribution and storage.
Bayleys North Shore Commercial began selling down the development in late 2020.
Priced from $269,000 plus GST (if any), all 74 units sold initially, settling in July. To date 22 units have since been on-sold to local owneroccupiers, with further interest in a small number for sale or lease.
The majority of investors are now enjoying a 5-6.5 per cent return on their initial investment.
Richard Moors of Bayleys said the size and flexibility of the new premises made them accessible to smaller owner-occupiers and investors at an affordable price point.
“The units are on a scale that presents a lower barrier to entry on price. It opens up commercial and industrial property ownership to new buyers, including former residential property investors, who may not have previously considered it an option,” Moors said.
Christopher Moore of Bayleys said the units had also captured demand from buyers seeking options for their personal use. “Some are effectively treating them as extended garages, for storing personal toys like boats, cars and campervans. For this type of user, an investment in a unit of this nature can stack up as a pretty interesting alternative to hiring space in a commercial self-storage complex,” said Moore.