A substantial central Christchurch commercial property, made up of three freehold buildings on individual titles and sharing a single line of frontage along Colombo Street, is for sale for the first time in more than three decades.
569 Colombo Street, on the western side of Colombo Street between Bath Street and St Asaph Street, is being marketed by Ben Cameron, Investment Sales Broker at Colliers Christchurch.
The property has been tightly held since the late 1980s, and its listing represents a rare chance for investors to secure a diversified central asset with a long history of good cashflow and low vacancy.
It will be auctioned at 10am on Wednesday 30 September at the Colliers Auction Room, Building 1, Level 1, 181 High Street, Christchurch, unless sold prior.
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“It’s an attractive holding with three buildings on individual titles, each with its own car parking, folded one behind each other on Christchurch’s main street adjoining the northern boundary of South City Shopping Centre,” Cameron says.
“All three unit titled buildings have access off Colombo Street, but you can also drive down the alley and out through Winchcombe Street.”
The 2,279sq m site (plus a half share in a further 328sq m) sits within 500m of the Christchurch CBD and borders South City – home to retailers including JB Hi-Fi, Chemist Warehouse, and Whitcoulls, with access to more than 550 customer car parks.
Those factors are a likely reason this property has had a very low vacancy rate across the 35-plus year ownership period, Cameron explains.
The Quill Lane residential development is being constructed directly opposite, adding further weight to a precinct undergoing rapid regeneration.
Zoned Central City Mixed Use, the property offers scope for a wide variety of purposes.
“That zoning is very positive for any investor to landbank as it’s viable in the future for residential and commercial, retail, or office premises,” Cameron says.
“The fact that there are three tenants and three freestanding buildings, each with car parking, means it’s also a diversified income play to bank the present cashflow with the potential for redevelopment further down the track.”
Long-established local retailer MusicWorks anchors the complex on the Colombo Street side and has just committed to a further six-year lease renewal. Ferntech NZ and a Midea-branded showroom occupy the other buildings.
Cameron says proximity to the CBD, established retail neighbours, and ongoing residential and commercial growth in the area underpin the property’s appeal beyond a single traditional investor profile.
“There’s a lot of growth happening in the neighbourhood right around this property,” he says.
- Supplied by Colliers
