A two-level office building in Mt Wellington is for sale through CBRE, offering options to invest, add value or occupy.
The 2776sq m building at 7A Pacific Rise is being sold by Pasifika Medical Association (PMA Group), which occupies the ground floor and is taking a new four-year lease to the space.
The first floor is currently vacant, providing opportunity for owner-occupiers or value-add investors.
CBRE associate director of capital markets Brad Ross is marketing the property with colleague Adam Wallis by deadline private treaty, closing Thursday June 11.
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He said the combination of modern improvements, a longstanding anchor tenant and a competitive price point makes the offering particularly attractive.
"This is a well-located, accessibly-priced suburban office building that provides both immediate income return and capital value upside for a range of buyers.
"An owner-occupier could occupy the first floor themselves, while benefiting from the income generated by PMA Group's ground-floor lease.
"Alternatively, a value-add investor could focus on leasing the vacant space and maximising their income from what is already a solid cash-generating asset."
PMA Group s new lease generates current net passing income of over $485,000 a year, with fixed annual rent increases of 3% providing guaranteed income growth. The lease also includes five rights of renewal of three years each.
The building's fully leased net income has been estimated at $1,037,195 - representing a substantial uplift available to the incoming owner once the first floor is occupied.
The office spaces are in good condition and the building has a prominent entry lobby with a lift.
Wallis said the 1401sq m first-floor space includes several meeting and board rooms and amenities, with its open-plan layout offering flexibility.
"The first-floor office has a 3m stud with floor-to-ceiling perimeter glazing, providing excellent natural light and an attractive, spacious workplace environment.
"It could also be split into multiple smaller tenancies, providing various leasing options."
One of the building's most compelling features is its parking provisions. With 112 parks at a ratio of one park per 25sq m of net lettable area, the allocation is well above what most suburban office buildings in Auckland can offer.
This is a strong competitive advantage when it comes to attracting a first-floor occupier, Ross said.
"Car parking at this ratio is genuinely rare for an Auckland office building. In a car-dependent catchment, it makes the first floor significantly more attractive to potential tenants and gives incoming occupiers a strong drawcard for their staff."
The building, which carries a 4-star Green Star rating, sits in the Pacific Business Centre, a professionally planned business park environment with excellent access to neighbouring amenities including retail, food and beverage and parks.
It is located around 12km south of Auckland's CBD and fronts Mt Wellington Highway, offering exceptional profile to passing traffic, including SH1.
"Transport links are excellent, with motorway access and Sylvia Park railway station close by," said Wallis.
"You have direct access to SH1 in both directions from the doorstep, while Sylvia Park with its shopping and food options and train station is directly opposite the property.
"This provides a highly convenient and well-located proposition for businesses looking to attract and retain staff."
- Supplied by CBRE
