Countdown Cambridge is being presented to the market for sale, offering prospective purchasers the opportunity to acquire a top-tier asset with a blue-chip tenant on favourable lease terms in a high growth area.
The supermarket is located at 51 Empire Street in Cambridge and has 3,906sq m of gross lettable area on a 11,701sq m freehold site.
The property sits on a prominent corner in the town centre’s commercial precinct and provides 169 car parks offering convenience for customers.
General Distributors Limited, trading as Countdown, began a 21-year lease on the property in 2003 and there are three further rights of renewal for 10 years each leading to a final expiry of October 2054.
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The annual net rental income is approximately $1,270,965 plus GST. The lease agreement includes three-yearly market rent reviews, which is incredibly rare for a supermarket, and offers substantial growth potential for the new owner.
The property was originally constructed in 2003 but underwent a substantial refurbishment and extension in 2015.
Cambridge is situated 24km south-east of Hamilton on the banks of the Waikato River, while Rotorua and Tauranga can also be reached in just over an hour.
Alan Pracy, Director at Colliers Hamilton, has been exclusively appointed to market the property for sale with the deadline for offers closing at 4pm on Thursday 2 March, unless sold prior.
The property has an 85 per cent NBS rating and the main shopping area spans 3,565sq m. There is also 208sq m of office and amenities space, two plant rooms measuring 35sq m and 98sq m respectively, a 154sq m pedestrian canopy, and a 135sq m service canopy.
Countdown Cambridge is 100 per cent leased to General Distributors Limited, a subsidiary of the Woolworths Group, a national retail group that is the largest in Australasia. Woolworths has more than 1,400 stores in Australia and New Zealand across its supermarket and retail divisions.
Pracy says supermarkets are a highly desirable asset class among buyers given their resiliency through all trading conditions.
“As supermarkets are deemed an essential service, these properties are always keenly sought by prospective purchasers who view them as a low-risk asset with the ability to operate through a range of unique circumstances, as evidenced by the Covid-19 pandemic,” Pracy says.
“The subject site is well presented, and the attractive leasing arrangements could bring about significant future earning potential for buyers who have the opportunity to secure a high-profile property with a strong tenant covenant.”
Cambridge had a population of 21,600 as of June 2022, an increase of 13 per cent from the 2018 Census, making it the largest town in the Waipa District, and the third largest urban area in Waikato after Hamilton and Taupo.
Cambridge's main sources of employment and income come from dairy farming, tourism, the equine industry, and sport. Dairy farming provides more than one in 10 jobs in the Waipa District.
“The ongoing population growth in Cambridge ensures there will be continued demand for this supermarket in the future,” Pracy says.
Sitting on a main arterial route in Cambridge, the property is easily accessible for customers and is located near a number of amenities.
The surrounding area includes car dealerships, rural supply stores, service stations, and food outlets. There is further residential development to the south-east, as well as a primary school.
“I encourage all interested parties to make contact with me immediately to ensure they have the opportunity to secure this in-demand property.”
- Article supplied by Colliers
