Press Release – Bayley’s Real Estate
The land and buildings housing a car sales company and printing group in a dual tenancy have been placed on the market for sale.
The refurbished commercial building at 100 Princes Street, Onehunga is leased to Gem Car Sales and One Print Group, both well-established businesses.
The property has a floor area of 911 square metres on a freehold 1067 square metre site generating annual income of $107,500 plus GST.
New leases for the tenancies have been signed. Gem Car Sales has a four year term, generating $56,000 annually and One Print Group has a six year lease, generating $51,500.
The property is now being marketed for sale by auction at 11am on June 26 through Bayleys. The property features in Bayleys’ latest Total Property portfolio magazine. Salespeople Michael Nees and James Valintine said the property was in a sought-after Onehunga location.
Mr Nees said the property was a functional workhorse.
“Demand for space of this nature underpins the fundamentals or the property, with industrial vacancy rates at all-time lows.”
“There is future rental growth in the contracted tenancies leaving upside in the asset,” he said.
“This is a well-presented property in a sought after Onehunga locality in the middle of Auckland’s industrial belt, with a strong weighted average lease term, making it a low-risk buying option.” The Western Ring Route completed two years ago has dramatically improved access to the area.
“It is for sale at a time when Auckland’s industrial market is experiencing a prolonged bull run, with both prime and secondary-grade vacancies at all-time lows, meaning growth in rental rates of between three to five percent. New property may not be enough to alleviate the low vacancy rates.”
Tenant Gem Car Sales operates a small car yard from its premises. Its vehicles are imported from Japan, ranging in year from 2006 to 2014. The brand has two other Gem Car Sales yards – in Tauranga and Mt Maunganui – offering the same service. As well as car sales, the company also supplies vehicle finance and insurance packages.
Next door, tenant One Print Group has been in business for more than 26 years and are experts in digital and offset printing, specialising in large signage, real estate billboards and hotel, bar and restaurant stationery, such as menus, coasters, docket pads, business cards and vinyl menu holders.
Mr Nees said the refurbished building had a seismic rating of 70 percent of new building standards.