Well-located Wairau Park investment with secure tenancy to be auctioned

18-Jun-2014 00:56:57

18 Link Dr 01 (2)With its high profile positioning and long term tenant of over 20 years, 11/18 Link Drive will appeal to buyers looking at a secure investment in the popular Wairau Park area.

Lighting Direct has leased and occupied the property since it was completed in 1993, some 21 years ago. It has guaranteed rental growth, with annual CPI rent reviews and a new 6 + 6 year lease from 1 April 2013.

11/18 Link Drive is being marketed by Andrew Bruce and Rob Meister of NAI Harcourts North Shore.

Meister says properties of this calibre are tightly held and keenly sought after by both tenants and investors. This is evident by Lighting Direct’s long term tenancy and commitment to the property. Rent has always been paid promptly, with no arrears in the entire 21 years of tenancy.

With excellent street exposure and a popular location, directly opposite Freedom Furniture, the property is a road front unit and part of a multiple courtyard complex.

It consists of a substantial retail showroom, service entry, toilet, office and lunchroom with a floor area of approximately 445.7m². There are 10 car parking spaces available.

The seismic report on the building shows it is not earthquake prone, with a 90% New Building Standard rating, achieving a seismic grade A.

Bruce says the design and appearance of the property is attractive.

The road front wall is predominately a glass curtain wall system with teal coloured aluminium framing together with clear and tinted glazing. Profiled metal canopies extend out over the road frontage and the building features two entrances, which would allow further subdivision into two separate tenancies if desired.

A feature of the subject unit is the fact it does not have a mezzanine floor as Bruce says this space is being seen as less desirable or surplus by many retailers.

General construction comprises concrete foundations and floor slab. Roofing is channel section galvanised iron laid over foil insulation and wire mesh supported by a steel frame.

Lighting Direct pays a net rent of $109,700 per annum plus GST. The current lease term commenced on 1 April 2013 and runs for six years. There is one right of renewal of six years. Rent is reviewed every year on 1 April.

With a chain of 25 stores nationwide, Lighting Direct has serviced the New Zealand market for almost 38 years and as such is a stable and long-term tenant.

Wairau Park is a unique location, developed during the late 1980s and early 1990s to become the bulk retail focal point for the North Shore.

Meister says the affordability of rental rates in relation to other centres and its geographically central location make the Link Drive locality a popular and sought after location for both investors and tenants.

Situated on the western side of Link Drive, approximately 100 metres south of its intersection with Sunnynook Road and Totaravale Drive, the property is 800 metres from Wairau Road and 1.4km from the Tristram Avenue motorway interchange.

Currently zoned Business 9, the future proposed zoning is Business – Mixed Use. This allows for moderate to high intensity residential and employment opportunities, with a mix of compatible residential and non-residential activities encouraged.

Meister says this is an investment not to be overlooked, with inspection by appointment only.

11/18 Link Drive will be offered for sale by auction on Thursday 3 July at 12pm. The auction will take place at the NAI Harcourts Auction Room, 400 Beach Road, Mairangi Bay.

Press Release, Nai Harcourts - Commercial