Enterprising opening in Christchurch precinct
Industrial vacancy levels remain tight in the wider Christchurch market with warehousing still in high demand from a range of occupiers, and investors still circling for quality stock to acquire.
These factors underpin the value proposition of nine tenanted and individually-titled units in a soughtafter business park, to be auctioned on behalf of the Renwick family who have owned the units since construction in 2006.
Graeme Donaldson and Bill Kingston of Bayleys Canterbury sold similar units last year, with strong inquiry from established investors, family trusts and buyers starting an industrial portfolio, and selling this portfolio as separate lots.
The properties are known as Units 1-9, 4-6 O’Briens Rd, with Units 1-7 to be auctioned individually and the more modestly sized Units 8 and 9 to be combined as one lot.
Located within the established Enterprise Business Park on the western side of Christchurch between O’Briens Rd and Epsom Rd in Sockburn, the units benefit from good arterial connections with the CBD, areas to the south and north of the city, and the airport.
The functional high-stud warehouse/office units have generous allocated parking and dual access from O’Briens and Epsom roads to accommodate larger truck and vehicle movements.
Construction of the northwestfacing units comprises mainly tilt slab panels with portal frames and they are rated 72 per cent NBS.
Donaldson said Sockburn has been favoured by investors, owneroccupiers and tenants post-earthquakes due to the locational advantages with easy streamlined access into the CBD, and he’s confident the interest will translate to results come auction day on March 14.
“These units are accessible, enduringly popular with occupiers and represent good buying for cashed-up investors and potentially, owner-occupiers who may see opportunity to ride out a shorter lease term before occupying the property themselves,” he said.
Each unit has a carpark allocation, with a total of 135 parks across the nine properties, and varying lease terms apply to each unit, with most having built-in rent reviews and renewal rights.
Bayleys agents in the Christchurch industrial leasing and sales markets expect continued good demand for existing industrial property from buyers and tenants given a slow pipeline of forward new stock and signalled interest rate reductions this year.