A strategically-positioned, freehold, cornerfront retail and office property with development potential in a high-demand location has come up for sale at 363-365 Remuera Road, Auckland.
Situated on a 225sqm site in the heart of the Remuera commercial precinct in Auckland Central, the tenanted three-level freehold property is marketed by exclusive agents John Bedford and James Lee of CBRE. It is offered for sale by auction on 20 March 2019 at 11am, unless sold prior.
John Bedford says the property is a prime, strategic real estate holding. “363-365 Remuera Road will prove to be a key growth asset in any purchaser’s property investment portfolio. The property is in-zone for both Auckland Grammar School and Epsom Girls Grammar School, and its Business - Town Centre zoning under the Unitary Plan offers real potential to add value by redeveloping in the future.
“Low interest rates have continued to drive demand for quality tenanted investments, particularly within the Auckland region. Options abound for an astute purchaser of this property in today’s market.”
Built in the 1920s, the classical-style building offers retail and office facilities of varying sizes over a gross floor area of 385sqm over two floors and basement. It also has on-grade carparking at the rear of the property.
The property is divided into a ground-floor retail tenancy with a single tenant, plus a basement retail and storage area for the retail outlet. Two office tenancies share the first-floor space, with separate access to them on Clonbern Road.
With the current occupants on short-term leases, the current net income for the property of $164,100 p.a. plus GST has potential to be increased, says James Lee.
“Tenanted investments in the sub-$5m price range such as 363-365 Remuera Road are tightly held and in particular demand. The property offers real potential to add value by massaging the tenant mix and increase the WALT. Owner occupiers also have the opportunity to occupy space that works for them and expand into the remainder floor area over time.
“This is particularly relevant as the Auckland Unitary Plan has created a unique commercial and/or residential redevelopment opportunity for this property, permitted under its Business – Town Centre zoning. This zoning is creating higher density developments in suburban areas like Remuera, which is in turn rejuvenating strip retail and mezzanine office for local convenience shopping and services.”
The property is located in the popular business strip along Remuera Road, a 15-minute drive from Auckland’s CBD. Bedford says it is ideally positioned in the heart of the precinct to capture street presence and proximity to complimentary business activities.
“Situated on the corner of Remuera and Clonbern Roads, this corner site offers excellent profile to passing traffic and pedestrians. Not much further along Remuera Road to the north is the Newmarket shopping precinct. This is a highly regarded shopping zone and the popular 277 Shopping Centre is currently undergoing a significant redevelopment program by its owners.
“Moreover, the property is located in the Double Grammar Zone, and an easy walk to both Diocesan School and Dilworth School for boys. St Cuthbert’s is only three minutes’ drive to the south.
“Ultimately, a corner freehold property in this location creates outstanding potential for future redevelopment or conversion of existing buildings for alternative use. Given the location, and recognition by Council of the long-term growth potential of this area, including the redevelopment in Newmarket, 363-365 Remuera Rd will appeal to a wide range of residential and commercial buyers who recognize the future potential of Remuera and Epsom.”
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 2018 revenue). The company has more than 90,000 employees (excluding affiliates), and serves real estate investors and occupiers through approximately 480 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.
