A high-quality industrial property with a long-term lease provides the perfect investment opportunity in the sunny Hawke’s Bay.
The large 8,094sqm freehold site at 1019 Manchester Street, Hastings, is being marketed by Chagalle Ellis and Bruce Catley of CBRE, and due to be sold by Deadline Private Treaty closing Thursday 7 March.
A modern, well-built property leased by McLaren Stainless, a third-generation family business based in the Hawke’s Bay, the property has all the hallmarks of a secure and stable investment.
The property is well positioned within Hastings in the Omahu Industrial Area, which is located 4 kilometres west of the Central Business District of Hastings. Manchester Street is 500 metres from Omahu Road, the main arterial route of the area which links directly to the Napier Hastings Expressway. Other well-known occupiers in the area include Metalcraft Roofing, McCain Foods, Downer New Zealand, Fletcher Easysteel, Progressive Meats and Orora Packaging.
The total building footprint is approximately 3,768sqm, consisting of a 3,251sqm main warehouse area plus 517sqm of ground floor facilities and offices. Including the first floor and mezzanine floor spaces, the total enclosed lettable area is approximately 4,190sqm.
Built in 2010 to a high-quality specification, the property opens onto a double height internal entrance foyer which also acts as the showcase for McLaren’s world leading innovations. This area includes a meeting room, boardroom and administration offices ground level.
The second floor provides management and design offices with large windows offering a view into the warehouse, allowing interaction with other parts of the facility.
Ellis says the functional warehouse has been specifically designed with manufacturing processes in mind, having a designated raw materials entry area and finished product exiting through the extra-large sliding doors to the rear.
“The warehouse has a stud height of approximately 8.5 metres rising to 10.5 metres at the central point of the curved roof structure and a combination of precast and colorsteel clad elevations. The warehouse construction supports three gantries and offers natural cross ventilation, high levels of natural light and enables the manufacturing and movement of large plant equipment such as storage tanks.”
The warehouse offers ease of access with four roller doors and a large sliding door to the rear wall. Two loading canopies come off the western side of the building with 150mm concrete pads beneath.
Located within the warehouse is a mezzanine storage area and two-storey well-appointed staff amenities.
Whilst purpose-built for McLaren Stainless, Catley says the general design, layout and specification provides a generic industrial building that will provide desirable industrial accommodation for future users.
“The quality construction means this building offers the occupier extremely versatile warehousing and manufacturing premises and flexibility for future use. In the interim investors will appreciate the value of having a well-established and reputable tenant in place in the form of McLaren Stainless.”
Founded by Reg McLaren in 1919, McLaren Stainless has developed into a world-class stainless-steel fabrication and OEM business exporting machines globally, specialising in the food processing sector. Currently run by Reg’s grandson Rob, who is managing director, McLaren Stainless’ current offerings include food processing systems, spiral conveyors and customised equipment solutions.
McLaren Stainless has won national and international awards for their innovations and in 2016 took out the QBE Insurance Most Exciting New Product at the HB Export Awards.
The property is being offered with a 10 year lease in place and fixed annual rental increases throughout the term.
Seldom is an award-winning asset of this calibre offered to the market with a long-term lease in place to a tenant as respected and established as McLaren Stainless, says Ellis.
“A real trophy asset such as this, that provides investors with long-term income and delivers structured rental growth and increasing returns over the term of the lease, will not be on the market for long.”
Read The New Zealand Herald article: "Hastings property has Stainless tenant"
ABOUT CBRE GROUP, INC.
CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2017 revenue). The company has more than 80,000 employees (excluding affiliates), and serves real estate investors and occupiers through approximately 450 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com..
