Wiri warehouse looks like smart investment move
With banks looking to do commercial deals and investors actively hunting for wellperforming industrial assets, brokers marketing a fully leased warehouse/office property in Wiri are expecting strong interest.
The smart-looking stand-alone building on just over 4000sq m of land at 5 Druces Rd has excellent frontage to the road, giving strong branding profile to passing traffic.
It has been home to leading A-grade national tenant BNT Automotive for five years, with a further five years remaining on the current lease term and renewals taking the final expiry out to 2039.
The fully refurbished, functional highstud warehouse-showroom is supported by office space across two levels to the front of the building along with workshop and storage areas, with a total building area of 2158.5sq m, excluding canopy and balcony.
There are multiple roller door access points and 22 carparks within the securityfenced and sealed site, which is zoned Business—Light Industry.
The current owners have held had the property for seven years and are realigning their commercial portfolio so have appointed Greg Hall and Karl Price of Bayleys to sell it by deadline private treaty closing Thursday June 6.
Price says the sale will allow a passive investor to capitalise on one of South Auckland’s preferred industrial precincts with a property that is truly hands-off, allowing for passive income, and where the tenant is firmly entrenched.
“BNT Automotive identified this site as being a great fit for their business and moved from their former premises to this property in July 2019,” he says.
“The location and the building clearly work well for the business, as it offers easily accessible, standout showroom space for display purposes and a good ratio of warehouse-to-office for operational efficiencies.
“There’s definitely appetite from investors for this sort of stock and banks are looking to do deals on quality properties where returns and lease fundamentals are strong.”
As an industrial precinct, Wiri is a high achiever and has attracted big-name investment in recent years, with Hall saying the recent opening of NZ Post’s largest state-of-the-art parcel processing centre in the area will underpin future values.
“NZ Post was strategic in locating the new processing facility close to the airport and to the southern and southwestern motorway systems and other main arterial routes like Cavendish Drive, Roscommon Rd and Great South Rd.
“These same locational advantages underscore the value of large-scale industrial developments by private investors like Graeme Hart’s Fernbrook Properties and James Kirkpatrick Group, and definitely enhance the appeal of this Druces Rd property, which is just minutes from the Lambie Drive motorway off-ramp.”
BNT Automotive has been a supplier to the New Zealand vehicle after-market for more than 60 years, providing a wide range of automotive parts, accessories and engineering supplies to trade customers throughout New Zealand, with branches from Kerikeri to Invercargill.