Eyes light up at Three Lamps offering
A tenanted commercial unit in Ponsonby’s Three Lamps retail precinct is generating strong interest among investors favouring its strong letting history and attractive income.
The contemporary office spans 467sq m of freehold property in a prestigious building on the corner of Jervois and Ponsonby roads, which benefits from excellent exposure to passing traffic and transit links to Grey Lynn, the CBD and motorway interchanges.
Bayleys salesperson James Chan says the preferable location, configuration and strong rental credentials work with current market trends.
“Lease tenure and income returns offset macro headwinds for investors while guiding strategy and asset selection. The property, tenanted by one of New Zealand’s largest digital training providers, provides an excellent passive income and lease options that could see a new owner extend the current arrangement or explore opportunities upon lease expiry.
“In particular, high demand for city-fringe accommodation continues as the flight to quality sees occupiers seek accommodation in higher amenity areas.
“The locational fundamentals are strong as a drift west draws southern CBD tenants following a loss of amenity during City Rail Link construction disruption.
“At the same time, hybrid working models have led occupiers to use less space for desks and more for collaboration.
Given the flexible mix of classrooms, offices and conference rooms, the premises is wellpositioned to service this demand.”
Chan is marketing Unit N, 338 Ponsonby Rd, for sale with colleague Matt Lee. It is offered by deadline, closing at 4pm, Thursday, October 26, unless sold prior.
Commanding one of the largest footprints in the building, the property is located on the ground floor of a high-profile premises formerly fronted by the Ponsonby Club Hotel – nicknamed the Gluepot.
Lee says concert-goers from the 70s,
80s and 90s will be familiar with the Gluepot, given it was one of the city’s premier music venues until its closing in 1994.
“While the Gluepot was in the original
1940s building, a second structure was redeveloped into offices and apartments in
1994, including unit N, which backs onto Redmond St. This provides rear vehicle access for the units and a secure carparking area,” he says.
In addition to various classrooms, offices and conference rooms, the property features a large kitchenette, bathroom facilities and four exclusive carparks.
Access to the unit is via a common area lobby off Ponsonby Rd.
The unit is occupied by Lumify Group (formerly Auldhouse) on a renewed fouryear lease, returning an annual net rental around $118,462 plus GST.
“The tenant is entrenched, having operated from the property since 1996, which offers the new owner security of tenure from a reliable business with a demonstrated history.
“An existing lease until 2026 provides future consideration for the incoming owner to extend the global occupant’s tenure and collect a healthy return or investigate alternative occupancy options upon lease expiry.
“Additionally, the property may suit an owner-occupier looking for new premises in a sought-after location.”
At the northern end of Ponsonby Rd, the Three Lamps precinct hosts various retail hospitality and office activities, servicing an affluent residential catchment.