A modern industrial building with an established tenant in the sought-after Hamilton suburb of Te Rapa is being presented to the market for sale, offering buyers the opportunity to secure a top-quality passive investment.
Located at 30 Earthmover Crescent, the property has approximately 2,021sq m of floor space and supporting canopies. The land area of the freehold property spans 5,954sq m.
The tenant is Pro Mechanical, a family-run business that performs diagnostic tests, fluid flush and fills, engine replacements, oil changes, and total vehicle overhauls.
Their vehicles are fully equipped to handle on or off-road work and are maintained by specialised staff. The company services clients across the Waikato and Auckland regions.
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Pro Mechanical has a 12-year lease at the property that began in June 2022 and two further rights of renewal of three years each leading to a final expiry in June 2040.
The total net annual rental income is $537,685 plus GST and operating expenses. The annual rent reviews of CPI plus 1 per cent will be attractive to investors, while there is also a market review on renewal with a hard ratchet in place.
The property, built in 2023 by prominent local firm Fosters, is strategically positioned in the rapidly expanding Te Rapa Gateway commercial and industrial precinct.
The immediate surroundings include a range of modern industrial developments, and the Hamilton CBD is approximately 15 minutes away.
Colliers Hamilton director Alan Pracy has been exclusively appointed to market the property for sale via deadline private treaty closing at 3pm on Wednesday 4 March, unless sold prior.
The building comprises a large-scale workshop, supporting office space, canopies, and extensive yard space.
"The property has been built to a high standard to meet the demands of modern industrial operations," Pracy says.
"There are attractive lease terms on offer that will draw the attention of buyers such as the built-in rental growth. This is all underpinned by a strong tenant covenant from a well-established firm.
"Industrial property has remained resilient as an investment class during the recent years of economic instability across New Zealand and this property represents a chance to secure a premier asset."
The northern end of Te Rapa, where the property sits, is characterised by its intensification of commercial and industrial development, while the retail hub of Te Awa The Base is about five minutes away, offering access to a range of amenities.
This low vacancy area is populated by national and international firms that benefit from the area's access to key transport routes. Auckland Airport is approximately 75 minutes away, while Tauranga can be reached in 90 minutes.
Pracy says this property has a collection of appealing investment fundamentals that will catch the eye of purchasers.
"Buyers with a long-term view will be interested in the low site coverage at the property, which suggests there is scope for it to be repositioned in the future subject to relevant consents.
"Purchasing opportunities like this are rarely brought to the open market given how tightly held the wider Te Rapa precinct is."
- Supplied by Colliers
