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Immaculate Wiri industrial boasts superb fundamentals - Colliers

Contributor:
Fuseworks Media
Fuseworks Media

An immaculate industrial investment property, boasting exceptional tenant covenant and locked-in rental growth from a long-term lease, is for sale in Auckland’s sought-after Wiri industrial precinct.

Constructed in 2005, the quality modern facility at 22 Aerovista Place is centrally located in a highly desirable area with great motorway connectivity.

It is fully leased to Transvisual Ltd, which provides comprehensive panel, paint and vehicle signage services for the transport, marine and aviation industries.

The New Zealand company was recently acquired by Royan Group, which is Australasia’s largest commercial vehicle repairer, backed by a trading history of 75 years.

A new 10-year lease on the property from July 2020 returns $414,325 plus GST in net annual rent, providing a new owner with a strong passive income stream. Two rights of renewal extend the final lease expiry to July 2038.

The lease offers built-in rental growth, with fixed annual increases of 2.5 per cent, backed by the security of a three-month bank bond guarantee.

Andrew Hooper, Industrial Director at Colliers International, says it would be difficult to find a better passive industrial investment in the current market.

"This is a chance to acquire an immaculately presented, modern industrial facility with outstanding fundamentals.

"It offers long-term passive income, guaranteed rental growth, exceptional tenant covenant, and a sought-after location with unmatched connectivity.

"Purpose-built for the tenant, the property provides 3,004sq m of warehouse and office space across two large medium stud industrial units, a low stud storage unit, and two levels of office.

"The versatile improvements are well suited to a wide range of industrial uses, while the flexible layout allows the property to be split into multiple tenancies if needed in the future.

"The building is situated on a substantial 5,674sq m freehold site, zoned for heavier industrial uses, with a large sealed yard, full security fencing and abundant space for car parking and manoeuvring.

"With such outstanding characteristics, this is a true trophy investment - especially considering its quality, location, zoning, lease and covenant.

"Industrial investments rarely come better than this, especially in tightly held Wiri." Colliers International has been exclusively appointed to market the property for sale by offers closing at 4pm on Tuesday 8 September, unless sold prior.

Todd Kuzmich, Industrial Director at Colliers, says the property is prominently situated on a corner near the start of Aerovista Place.

"Aerovista Place is quiet cul-de-sac that runs off Mclaughlins Road, a short distance from busy Roscommon Road.

"The site is 1.2km from the Roscommon Road interchange with State Highway 20, which provides connections to Auckland Airport and the Waterview Tunnel to the west, and SH1 in both directions to the east.

"The property is also only 1.3km north of the Roscommon Road intersection with Wiri Station Road - a major arterial route servicing Wiri and providing a connection to Manurewa."

Kuzmich says Wiri is an established and sought-after industrial precinct with a number of large-scale industrial operators including The Warehouse, Frucor, Americold, Kmart, Downer and Gough Group.

"The area has proven popular with large occupiers and multinationals due to its excellent connectivity andaccess to amenity, including the nearby Wiri Inland Port." 

Paul Higgins, Industrial Director at Colliers, says the property boasts a 100 per cent IEP seismic rating.

"It comprises three units, made up of one smaller low stud workshop/warehouse and two larger medium stud warehouses with associated offices.

"The offices are split over two levels and are of a generic layout, with both open plan and partitioned areas. Amenities are located on the ground floor."

The warehouses of Units 1 and 2 are clear span with a stud height of 7.5m at the knee, rising to 9.1m at the apex. Unit 3 is a lean-to adjoining Unit 2, providing low stud storage with a height of 4.6m.

Higgins says the site is extensively sealed with 35 marked car parks for staff and visitors. Access to the site is provided via dual driveways off Aerovista Place.

Security fencing surrounds the entire site, including upper strands of barbed wire for added security. The property is zoned Business Heavy Industry, which allows for a wide range of intensive industrial uses, including activities that may produce objectionable noise, dust or emissions. 

Higgins says the tenant, Transvisual, provides comprehensive refinishing services for many commercial clients.

"With over 15 years in business, Transvisual is among New Zealand’s leading providers of commercial collision repair, spray painting and signwriting.

"Its state-of-the-art facilities are operated by a team of highly skilled experts who provide complete refinishing solutions from the smallest to the largest vehicles, including helicopters.

"The exceptional strength of this tenant covenant will have immense appeal for long-term investors, making this property one that shouldn’t be missed."

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