The land and buildings of a prominent mixed-use development known as Catalina Bay in the West Auckland suburb of Hobsonville are being offered to the market for sale, providing prospective purchasers with the opportunity to acquire a top-tier split-risk investment.
Located on Boundary Road, the seaside development has been masterplanned by Cheshire Architects, revitalising and repurposing several of Catalina Bay’s historic air force buildings. It consists of 6,445sq m of total lettable area on 6,942sq m of freehold land.
There are six fully leased buildings spread across three individual parcels of land, all of which are zoned Business – Mixed Use Zone under the Auckland Unitary Plan. The property is held in one title and is being sold in a single line.
There are significant value-add opportunities at the property that would allow the new owner to unlock its true potential over time.
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The diversified income stream of $2,806,008 plus GST per annum is anchored by Lion Breweries and Kāinga Ora, with tenants that include the Little Creatures bar and brewery, Asian fusion restaurant Siamese Doll, Fabric Cafe Bistro, and the popular Catalina Bay Farmers Market.
The weighted average lease term across the leased areas at the property, which excludes the coworking space within the Sunderland Hangar and the Farmers Market, is approximately 4.58 years.
Colliers Directors Blair Peterken and Peter Herdson have been exclusively appointed to market the property for sale via an expressions of interest campaign, which will close at 4pm on Thursday 4 September, unless sold prior.
The property forms part of the wider Hobsonville Point development, a comprehensively planned 167ha peninsula that has transformed into one of Auckland’s most desirable communities.
With over 3,000 new homes already built, Hobsonville Point will eventually include over 4,000 dwellings, two new public schools, 13 parks and reserves, coastal walkways, and a vibrant retail and hospitality precinct.
The property is located approximately 11km north-west of Auckland’s CBD and can be reached in 20 minutes under normal driving conditions. Closely located off-site car parking offers convenience for shoppers.
It also benefits from a dedicated ferry link with the city that runs throughout the week and brings customers and clients right to the doorstep of Catalina Bay and the subject property.
These strong road and harbour links make this shopping and dining location highly accessible for people from across the city.
The Sunderland Hangar is a historic building within the development and spans 3,038sq m. Formerly an aircraft hangar, the building has been transformed into a vibrant microbrewery with a mezzanine level coworking office space. Little Creatures, which is owned by Lion Breweries, occupies the ground floor and operates a brewery, bar, and casual dining venue on a 15-year lease, ending in 2034.
Located at the rear of the site, the 422sq m GRP Building is a fully leased two-level commercial premises providing high-quality office accommodation.
The Farmers Market occupies two thirds of The Armoury building and the remaining portion of this 705sq m building is tenanted by the Siamese Doll restaurant.
The neighbouring Workshop North (1,018sq m) and Workshop South (1,039sq m) buildings are interconnected two-level character office buildings that are tenanted by Kāinga Ora.
Positioned on the waterfront within the Catalina Bay development, the 306sq m Fabric Building features prime retail space, occupied by Fabric Cafe Bistro, that benefits from an expansive outdoor deck.
Located at the rear, the 57sq m Painting Building complements the precinct’s diverse tenancy mix and is currently leased by an artisan bakery.
Peterken, Director of Capital Markets at Colliers, says vendors Willis Bond have carefully preserved the historic character of the neighbourhood through this revitalisation project that also has further scope for development.
“Buyers have the opportunity to secure one of Auckland’s most eye-catching and dynamic waterfront assets. This is a proven destination with a diverse income stream from an excellent tenant mix. The property has significant long-term potential, and investors should investigate the numerous ways to further enhance the asset,” Peterken says.
“This property’s inviting waterfront setting, that is complemented by live music and community events, creates an energetic and unique atmosphere that attracts both locals and visitors alike.
“The broad tenancy mix includes well-known local names that have rapidly established themselves as sought-after destinations and built-in rental growth makes this a highly appealing investment.”
Herdson, National Director of Capital Markets at Colliers, says the surrounding area is growing quickly with more people moving there, creating strong demand for local services.
“The wider West Auckland region has benefited from enhanced connectivity through public transport upgrades and further transport infrastructure investment,” Herdson says.
“Hobsonville is a desirable location for families and with further development on the way, the area will continue to expand. This is an opportunity that is not to be missed.”
- Supplied by Colliers
