A recently-renovated low-rise stand-alone commercial building located on the edge of Auckland’s central business district – and suitable for redevelopment - has been placed on the market for sale.
The three-storey premises at 144-148 Hobson Street sits on some 556 square metres of freehold land, with the location zoned Business – City Centre under the Auckland Council plan. The land use classification allows for potential intense development of the site.
The Business - City Centre zoning plays a pivotal role in Auckland’s future urban evolution – ensuring the city centre remains an international hub for business, learning, entertainment, culture and inner-city urban living. To maintain and enhance the vibrancy of the city centre, the zone permits a wide range of activities.
The zoning underpins the ability to create buildings maximising height and floor areas, while simultaneously protecting special character areas, sunlight flow to public spaces, along with views of the city’s volcanic cones and other landmarks.
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The commercial property at 144-148 Hobson Street is being marketed for sale by deadline private treaty through Bayleys Auckland, with offers closing on Thursday 10 November 2022.
Salespeople Owen Ding and James Chain said the smartly presented property provided excellent street exposure - with a wide frontage onto Hobson Street and an abundance of natural light throughout.
“This is a very rare opportunity to acquire a freehold CBD property in a superb location with favourable zoning and abundant redevelopment potential,” said Ding.
“The ground level is currently occupied by a Chinese restaurant - with separate entrances from both the basement carpark and building lobby
“Office accommodation is provided on both levels one and two - with a formal entry and stair lobby from Hobson Street. There are kitchen and bathroom amenities available on each level.
“A new owner could refurbish or reconfigure the existing lay-out and floor plater to and add value, or could alternatively transform the entire site by demolishing the existing improvements to best utilise the zoning’s 50-metre height limit,” Ding said.
“Many of the property’s surrounding neighbours have already been reconfigured into this higher building format to maximise the potential offered by the compact and straightforward land size.
“Located on the very fringe of Auckland’s central business district, the property has a new building standards rating of 70 percent. There are 18 secured car parks located in the basement of the premises – which is a rarity for many commercial premises in this part of the city environs.
“The parking spaces can be allocated to tenants within the existing premises under the current configuration, or let as parking spaces to external tenants,” he added.
The property generates revenue streams from four separate tenancies – with obvious potential to increase the income pool from two currently unoccupied spaces within the building.
Combined, the property generates annual income of $93,875 per annum, comprising:
· Dora International Ltd occupying 314.9-square metres on the ground floor on a lease running through to 2025 with three further four-year rights of renewal
· Jineh Hospitality limited occupying 100-square metres on the first floor on a lease running through to the end of the year with one further three-year right of renewal
· Jetcloud IT Solutions occupying 44.3-square metres on the first floor on a lease running through to the end of the year with one further one-year rights of renewal
· Phantom Bill Stickers Ltd occupying external wall space on the premises on a lease running through to 2023.
Chan said: “There is potential to increase rental revenues from the building by tenanting some 182-square metres of vacant office space on the first floor, and a separate 327-square metres of vacant office space on the second floor.
“This could see two tenancies being added, or potentially one tenancy split across two levels.
“The property is located within a tightly held mixed-use precinct in an area that is undergoing significant rejuvenation and development. It offers excellent access to motorways, public transport, and amenities including eateries, hotels, SkyCity’s entertainment precinct, the new convention centre, and Queen Street,” Chan added.
- Article supplied by Bayleys
