Work is well underway on the first stage of a new business park in Wiri with over half the industrial units sold ahead of its completion later this year.
Five of 11 new warehouse units currently under construction at the Wiri Station Business Park at 114 Wiri Station Rd, along with another four units in three existing buildings on the site, have already been sold by Mike Marinkovich and James Hill of Bayleys’ Auckland industrial team at a total value of over $10 million.
Marinkovich says purchasers have been a mixture of owner occupiers and investors. Adjoining units at the front and rear of the new complex have been bought by separate buyers who will each occupy one unit and rent out the other.
“They see the location at the gateway to both the south western (SH20) and southern (SH1) motorways underpinning the value of the units for both their own businesses and tenants.”
He says the building of the new units being undertaken by Robert Cunningham Construction is well advanced, with the concrete flooring and tilt slab walls plus roofing in place, with a likely completion ahead of schedule in late November.
The two largest corner units in the new 11-unit development have been sold off the plans along with several smaller units. Marinkovich says two size options remain. Three 261 sq m units comprising 223 sq m of ground floor space and a 38 sq m mezzanine, which could be used for offices or storage, are available with four car parks. Three 206 sq m units with the same amount of mezzanine and 168 sq m ground floors plus three car parks are also currently available, although one is under conditional contract.
“This is the only opportunity to buy quality new industrial units over 200 sq m in this development as Stage 2 and 3 of the project will have units that are smaller than this,” says Marinkovich. “The premises will have bathroom and kitchenette amenities in place on the ground floor with occupants responsible for the fit out of the remainder of the space depending on how they want to use it.”
Hill says the units will have attractive frontages with substantial glazing and excellent signage opportunities. Each will have their allocated parallel carparks at the front along with roller door access to the warehouse space which has an 8m stud.
“On the other side of the right-of-way access there will be a common property strip which will contain 15 visitor carparks, a shared container drop off area which can be booked through the body corporate, as well as a designated rubbish recycling and collection area.”
The Wiri Station Business Park is about 650 metres away from the Lambie Drive interchange to the south western motorway which also links up with the southern motorway a short distance away in Manukau
The opening of the Waterview tunnel and the associated completion of the 48km Western Ring Route network of connected motorways has been a major selling point for the new business park, says Marinkovich.
“Because of its convenient access to the south western and southern motorways, Wiri has become the preferred location for many industrial occupiers and this has been further enhanced by the completion of the Waterview tunnel.
“The Western Ring Route provides an alternative route to the increasingly congested SH1 to the CBD and port, West Auckland and the North Shore. It provides easy access to the airport and, via the Waterview tunnel, to SH16 (the northwestern motorway) and SH18 (the Upper Harbour Highway) which exits at Albany.”
The Wiri Station Business Park is also close to the Wiri Inland Container Terminal and the Manukau CBD. When completed, it will have a total of 30 units positioned on a 1.6094 hectare landscaped site zoned Heavy Industry within a secure gated complex.
Hill says construction of the Stage 2 units will commence shortly and this will provide five units of 186 sqm each comprising of 148 sqm ground floor space and a 38 sqm mezzanine. These units can be purchased now and are very well priced from $655,000. “A ten per cent deposit will secure the best positions in the next stages of the development and Bayleys can assist on the leasing side if required prior to settlement.” Completion of Stage 2 is scheduled for May/June, 2019.
The units that are still available would suit trades people, smaller importers or businesses or individuals with storage requirements, says Marinkovich. “There is a real shortage of suitable warehousing and workshop premises in South Auckland for tradespeople such as electricians, plumbers and smaller builders.
“The current very low vacancy rates for modern industrial premises, particularly smaller units, means these units are also attracting interest from investors. There is a level of frustration at the lack of good quality tenanted industrial investment properties available for purchase at present so some investors are happy to purchase vacant brand new premises off the plan. They know that there is a strong possibility that they will be leased up by the time they are finished given the strong level of leasing demand in the market.”