Established tenants in highly visible Albany spot

A stand-alone industrial building with dual tenants in Albany is for sale for the first time in close to 40 years.

18 Parkway Drive, Albany (pictured), has 951sq m of floor area on an elevated

1626sq m freehold site that offers considerable exposure to passing traffic. The property is zoned Business–General Business under the Auckland Unitary Plan.

The building industry tenants are wellestablished occupants who have lease agreements that run until 2031, if their rights of renewal are used.

Total annual rental income is $203,361 plus GST and both tenancies include regular market rent reviews.

With 18 on-site carparks, the property offers convenience for occupants, suppliers and customers, while the motorway network can be reached in a few minutes.

Colliers directors Matt Prentice and Shoneet Chand are marketing the property with offers closing at 4pm, Tuesday November 14, unless sold prior.

Grand Glass & Hardware Ltd are the occupants of Tenancy A, which spans

493sq m and includes a warehouse, ground-floor office, mezzanine office and mezzanine storage. They have access to

10 carparks. Their six-year lease began in June 2021 and includes one further right of renewal for four years leading to a final expiry of May 2031. Market reviews are set for every two years from 2025.

Tenancy B spans 458sq m and is occupied by Point Building Supplies Ltd, trading as Tile Choice. Their four-year lease runs until 2025 and has two further rights of renewal for three years each leading to a final expiry of May 2031. Tenancy B includes a highly functional warehouse, low-stud storage space, a ground and mezzanine floor office, mezzanine storage and access to eight carparks.

Prentice says the highly visible property represents an outstanding investment opportunity. “It is incredibly rare to see freehold and affordable assets of this nature presented to the market. Investors will appreciate the diversified income stream that comes from having two established tenants.

“Properties of this nature are tightly held and are keenly sought by buyers and include the key investment fundamentals they covet.”

Industrial floorspace remains in short supply across the wider Auckland region. The vacancy rate for prime space in the Mairangi Bay industrial precinct, where the subject property is located, is only 2.2 per cent, according to the latest research from Colliers.

Parkway Drive runs parallel to Constellation Drive, a main thoroughfare for traffic entering and exiting SH1 and SH18. It also services residents accessing the northeastern bays.