One of the largest multi-unit residential offerings seen in Gisborne in recent years has been placed on the market for sale as demand for rental housing in the city soars.
The property for sale at Attlee Place, a cul-de-sac off Carnarvon Street just to the north of Gisborne’s CBD, is home to 28 residential rental units on a single freehold title.
Its listing comes in the midst of what a local real estate figure describes as unprecedented demand for a limited supply of residential accommodation in the city.
“This residential offering is of a scale seldom seen in the local market and it comes in the midst of what can only be described as the most acute housing shortage the Gisborne region has ever seen,” said Mike Florance of Bayleys Real Estate.
The complex at Attlee Place was originally built by Gisborne Council in 1983 for community housing. In 1994 the council sold the 28 units which are now on the market, achieving a sale price at that time of around $1.5 million.
“Twenty-seven years later, in a highly stretched housing market this property is sure to attract wide buyer interest,” Mr Florance said.
The freehold land and buildings at Attlee Place are now being marketed for sale by Mr Florance and fellow salesperson Kerry Low of Bayleys Gisborne, by way of an auction on 26 March.
Mr Florance said the property for sale consisted of 28 self-contained units, incorporating one four-bedroom, 12 three-bedroom, eight two-bedroom and seven one-bedroom homes, on a site of approximately 6,678 square metres.
“Most of the units are two-storey and each comes with a garage either attached or nearby, as well as a small private garden and lawn area,” he said.
Mr Florance said all but one of the tenancies were currently occupied, earning rents ranging from $180-$250 per week for one-bedroom units up to $420 for larger units.
“Together these individual unit rentals add up to total net rental income of some $358,280 per annum. However, a recent market rent appraisal has suggested a number of units could earn significantly more.”
Ms Low said the Attlee Place property offered potential buyers the opportunity to benefit from a sizeable rental income while exploring numerous options for upside – such as a full makeover, subdivision or simply rent reviews.
The Attlee Place property lies in the midst of an area zoned General Residential under Gisborne District Council’s Tairāwhiti Resource Management Plan.
“The property’s cul-de-sac setting offers residents an environment of relative calm and privacy which belies its convenient central location just off major arterial roads near the heart of Gisborne,” Ms Low said.
“Attlee Place is positioned within easy walking distance of the city’s central business district, supermarkets, urban amenities and parks, as well as the Gisborne Botanical Gardens a few hundred metres to the north. The Eastern Institute of Technology’s Tairāwhiti campus in Palmerston Road is a six-minute walk away,” said Ms Low.