A high-profile commercial property strategically positioned in the busy South Auckland suburb of Papatoetoe is being offered to the market for sale, presenting buyers with the opportunity to acquire a multi-tenanted freehold asset with significant value-add potential.
Located at 158 Kolmar Road, the property comprises approximately 4,150sq m of floor area on a substantial 7,454sq m landholding in the heart of Papatoetoe’s town centre.
Fully leased to six tenants, the property currently produces gross rental income of approximately $276,000 plus GST per annum, providing purchasers with a diversified income stream while offering opportunities for lease optimisation and future rental growth.
The property benefits from generous on-site car parking, supporting tenant operations and providing convenient access for customers and visitors.
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Kolmar Road connects directly to Great South Road, providing connectivity to Papatoetoe’s established commercial precinct and surrounding residential catchments.
The property is zoned Business – Town Centre Zone under the Auckland Unitary Plan, allowing for a wide range of commercial activities and potential future intensification, subject to the relevant consents.
The scale of the landholding provides purchasers with the opportunity to consider a range of longer-term development or repositioning options.
Colliers Brokers Gawan Bakshi and Will Bason have been exclusively appointed to market the property for sale via deadline private treaty closing at 4pm on Wednesday 25 March, unless sold prior.
The current tenancy mix includes a giftware and homeware retailer, kitchenware store, church, cultural centre, and supermarket, creating a diverse blend of retail, community, and cultural activity that contributes to the vibrancy of the local area.
Some tenancies operate on periodic arrangements, while others have fixed lease terms expiring over the coming years, providing purchasers with flexibility and opportunities for lease optimisation through proactive asset management.
Bakshi, Associate Director of Investment Sales at Colliers, says the property offers buyers the opportunity to secure a substantial commercial landholding within a rapidly evolving area of Auckland.
“With holding income already in place through the existing tenancies, there is considerable scope to grow the rental stream through lease optimisation, rental reviews, and active asset management initiatives, which will make this an appealing property for investors,” Bakshi says.
“Equally, purchasers considering redevelopment or repositioning of the asset will benefit from the sizeable landholding and the flexibility offered by the Town Centre zoning.”
Papatoetoe continues to benefit from civic investment and infrastructure upgrades, with Auckland Council initiatives aimed at revitalising Old Papatoetoe’s town centre through improvements to public spaces and connectivity.
Upgrades to Chambers Laneway, the extension of Cambridge Terrace, and improvements to Stadium Reserve have enhanced accessibility and amenity within the area, while ongoing residential development is supporting continued population growth.
Bason, Investment Sales Broker at Colliers, says the property is located in a high-exposure area within a growing, well-established community.
“The Papatoetoe-Ōtara Local Board area recorded a population increase of approximately 2.1 per cent between the 2018 and 2023 Census, reflecting steady growth in the surrounding catchment,” Bason says.
“This growth will continue to underpin demand for local retail, community services, and commercial activity, positioning the property for long-term investment performance.
“Planning consultants have previously been engaged to examine potential development options to capitalise on the site’s considerable potential.”
- Supplied by Colliers
