 Asset Class: | Industrial |
 Price: | $ 2750000 |
 Net Yield: | 6.53 % |
Net Yield - including solar strategy: | % |
 Property Market Status: | On Market |
<span style="color:rgb(101, 96, 93);">Conveniently located on Grayson Avenue, just off Cavendish Drive, this is a prime opportunity for investors to secure a freehold industrial property in the heart of the Manukau industrial precinct. The property benefits from three established tenants, providing secure, passive income with a combined net rental of $179,695 + GST annually. The well-established tenants provide a good return and service the local market in a highly desirable location.</span><br><br><span style="color:rgb(101, 96, 93);">Demac Metal Fabrications 2018 Ltd occupies the front building, comprising 798 sqm (with a 194 sqm sublease to </span>Sovereign Presbyterian Community Church),<span style="color:rgb(101, 96, 93);"> Quality Assured Launderers occupies the front unit of the rear building, comprising 383 sqm, and HVK Limited occupies the rear unit of the rear building, measuring 91 sqm.</span><br><br><span style="color:rgb(101, 96, 93);">This is a no fuss industrial asset primed for capital growth through rental increases to bring the property up to market. With a sought after location such as this it won't be on the market for long.</span>
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The property is extremely well located within the Manukau Business Precinct which is an extremely desirable location to a diverse and wide range of occupiers and building owners.<br><br>The property benefits from being situated in the heart of the Manukau industrial precinct. The general area was developed as an industrial estate in the 1970's to 1980's with larger scale industrial holdings being very predominant.<br><br>The property benefits from ease of access to the Southern and South Western motorway systems and other main arterial routes including Cavendish Drive, Roscommon Road and Great South Road and is 22 minutes to the Auckland CBD traffic-dependent.<br><br>Properties in this location are tightly held and such investments seldom come to the open market.<br><br>Key Features:<br><br><b>Development</b><br>Continued development and growth within the Wiri Business Precinct<br><br><b>Location</b><br>Tightly held and keenly sought after location<br><br><b>Access</b><br>Easy access to the industrial precincts of Onehunga, Penrose and Manukau<br><br><b>Proximity</b><br>Close proximity to Auckland International Airport (7.6kms)<br><br>
Additional Location Information File<b>Demac Metal Fabrications 2018 LTD</b><br>Demac has grown from strength to strength over the past 40 years. Andy Wethasinghe a Mechanical Engineer qualified in the UK brings with him years of experience in Manufacturing. Worked overseas in various industries, managing large projects, he has the ability to problem solve and deliver. Our highly experienced and qualified welders and fabricators make our team a winning combination.<br><br>Sheetmetal fabricators specializing in Aluminium, Mild and Medium steel, Stainless Steel, Galvanized sheet, Colour Steel and Electro-Galv (zintex)<br><br>Success over the past decades is attributed to our outstanding service, customer satisfaction, quality workmanship and on time delivery. <br><br><b>Quality Assured Launderers Limited – Your Trusted Laundry Service in Auckland</b><br><br>At Quality Assured Launderers Limited, located in the heart of South and East Auckland, we specialise in delivering top-notch commercial and industrial laundry services. Our dedicated team is committed to providing reliable, prompt, affordable solutions tailored to your needs. Whether you need industrial garment cleaning, sports uniform laundering, or workwear maintenance, you can depend on us for unmatched service and competitive pricing.<br><br><b>HVK Limted T/A Vallabhs Sweets</b><br><br>Vallabhs Sweets is a sweet and snack wholesaler who use their Grayson Avenue location for wholesale storage and distribution across Auckland and NZ.
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6C Ryan Place, Manukau Floor area: 401sqm Leased on 7/8/24 Price: $68,000 Square meter rate: $169/sqm 9/12 Dalgety Drive, Wiri Floor area: 187sqm Leased on 16/9/24 Price: $35,000 Square meter rate: $187/sqm
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<ul style="list-style-type:disc;list-style-position:inside;padding-inline-start:20px;"><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">Returning $179,695.00 plus GST and OPEX ($141 / sqm)</span></p></li><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">1,272 sqm (more or less) building area</span></p></li><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">2,198 sqm (approximately) land area</span></p></li><li style="list-style-image:none;color:rgb(51, 51, 51);"><p style="display:inline;"><span style="color:rgb(51, 51, 51);font-weight:normal;font-style:normal;">Zoned Business Light Industry</span></p></li></ul><br><b>Secure income stream across a Diverse tenancy profile</b><br>Occupied by Demac Metal Fabrications, Launderers, and HVK Limited, providing rental income stability and tenant diversification<br><br><b>Freehold industrial asset</b><br>Sought-after freehold site with warehouse facilities across two buildings, offering long-term capital growth potential<br><br><span style="color:rgb(51, 51, 51);"><b>Upside available in rent</b></span><br><span style="color:rgb(51, 51, 51);font-weight:normal;">Market rental shows support for a sqm rate of between $150+ / sqm far above the $141 / sqm current rental rate. The current owner managed to negotiate very strong lease terms which are currently in place.</span><br><span style="color:rgb(51, 51, 51);font-weight:normal;">Demac the anchor tenant has fixed rental increases of $5,000 per year until expiry in 2028. This is >4.5% fixed per annum!</span><br><span style="color:rgb(51, 51, 51);font-weight:normal;">Quality Assured Launderers have a CPI review in June 2026 and a Market Review on renewal in June 2028.</span><br><span style="color:rgb(51, 51, 51);font-weight:normal;">HVK has 3% fixed increase until a market review in 2028.</span><br><span style="color:rgb(51, 51, 51);font-weight:normal;">This makes for a total rental increase of ~3.8% in annually without any market reviews.</span><br><br><b>Huge recent CAPEX</b><br><span style="font-weight:normal;">Including: New roof over sections of both buildings, New skylights and internal gutter, Full exterior paint, Drains hydrojetted with any issues resolved </span><br><b><i>Total spend of $78,000+</i></b>
