Takapuna’s Eat Street on menu for investors
A strategically located and architecturally designed retail laneway in Takapuna is on the market, providing buyers with the opportunity to acquire a premier asset in a location undergoing extensive development.
Eat Street, at 40 Hurstmere Rd, has
1767sq m of total net lettable area on a
1569sq m site that is zoned Business– Metropolitan Centre under the Auckland Unitary Plan.
The award-winning property has 13 separate income streams and returns $762,318 plus GST and operating expenses in total net annual rental income.
Many of the tenants are signed to long-term leases, indicating their commitment to this prominent site.
Burger Burger, which occupies the biggest tenancy at 282sq m, recently renewed its lease for another three years.
Sitting approximately 250m from Takapuna Beach and Hurstmere Green, the property is located next to the site that will be developed by Willis Bond in conjunction with Eke Panuku Development Auckland to create the
Takapuna Central Apartments. Eke Panuku is the council-controlled organisation that delivers urban regeneration across the city.
This development is set to reinvigorate central Takapuna and includes 110 premium apartments as part of a multistage $400 million project that will be spread over five sites and a total area of 5560sq m.
Colliers directors Shoneet Chand, Matt Prentice and David Burley are marketing the property for sale via deadline private treaty closing at 4pm, Tuesday November 21, unless sold prior.
The tenancies of Eat Street range from 70sq m to 282sq m and include a complementary mixture of hospitality occupants and retailers, such as Bird on a Wire and Caci Clinic, among others.
Most of the tenancies extend into the next decade if all rights of renewal are taken up and a strong majority of the agreements include either CPI or market rent reviews to promote future rental growth.
Chand, director of investment sales at Colliers, says the location of the property means there is a strong level of foot traffic.
“The master-plan developments happening around this location are part of the regeneration of Takapuna’s town centre that will make the area even more appealing to visitors and locals,” Chand says.
“Hurstmere Rd was already an established shopping and commercial precinct in Takapuna that is pedestrian-friendly. Further development will only see usage of the area grow. With the beach nearby and plenty of green spaces, this property is perfectly positioned to generate strong customer numbers.”
Prentice, director of sales and leasing at Colliers, says the quality of the building construction adds to the visual appeal of the property.
“Eat Street has won multiple awards at the New Zealand Architecture Awards. It has been built in the mould of a Melbourne laneway with the use of recycled bricks, raw concrete and a new facade.
“Sitting in a tightly held pocket of Takapuna, the property enjoys high levels of street exposure and visibility.”
Burley, Auckland director of investment sales at Colliers, says the zoning of the property leaves the door open for future development opportunities to further intensify the site.
He says the Business–Metropolitan Centre Zone applies to centres located in different sub-regional catchments of Auckland.
“These centres are second only to the city centre in overall scale and intensity.
“They act as focal points for community interaction and commercial growth and development and contain hubs serving high-frequency transport,” Burley says.
“The zone provides for a wide range of activities, including commercial, leisure, high-density residential, tourist, cultural, community and civic services with a maximum building height of up to 24.5m. This could allow for further growth if a new owner wanted to explore such an opportunity,” Burley says.