Two units in the Mid City complex at 239 Queen St in Auckland’s CBD are up for sale in Bayleys’ latest Total Property portfolio.
One is a basement area recently substantially refurbished to accommodate a pool and billiards hall while the other is located on Level One and is leased to a well-established Japanese restaurant.
The larger of the two, Unit B, comprises 600 sq m of commercial space which is occupied by Cue City. It is generating initial net annual rental income of $168,000 from an eight year lease from March 2018, with fixed annual rental increases of two per cent.
The offering will go under the hammer on August 9, unless sold prior to that date, as part of Bayleys’ latest Total Property portfolio auction. It is being marketed by Nicolas Ching and James Chan of Bayleys’ International Division.
Nicolas Ching says the basement premises, formerly home to a karaoke bar, underwent an extensive refurbishment and refit project prior to Cue City’s occupation, upgrading the space to a higher standard.
Ching says Cue City has a total of 26 well spread out pool and billiards tables as well as an attractively fitted lounge with a large TV and wi fi access, separate male and female toilets and a staff room.
“It benefits from significant signage to the many pedestrians who pass along this busy part of Queens St, from where it is easily accessible,” Ching says. “The business is being run by experienced pool hall operators who have made a substantial commitment to creating a high quality recreational facility.”
The other property for sale in the Mid City Centre is a 282 sq m unit which was also substantially renovated and upgraded prior to its occupation by the RYO Japanese Izakaya restaurant in late 2016.
“This is a superbly presented property with a high quality fitout which is well positioned up a ramp close to the Elliott St entranceway to the centre with good signage exposure on Queen St as well,” says marketing agent Millie Liang of Bayleys’ International division. “”With a wide internal frontage of approximately 16.7 metres, the restaurant also has a high profile within the centre.”
Ryo Japanese Izakaya is open for lunch and dinner, focusing on seafood and tapas but offering a wide range of Japanese food and beverages. The licensed restaurant’s current lease runs until November 2020 and there are further rights of renewal through until 2034. It is currently generating net annual rental income of $108,000 plus GST which will increase to $120,000 in November this year and to $132,000 in November 2020 if the first renewal right is exercised.
The property, Unit 2a 239 Queen St, is for sale by deadline private treaty, with offers required before 5.30pm August 9.
Bayleys international sales manager James Chan says the five-level Mid City Centre is strategically situated between the two busiest corners on Queen St of Victoria and Wellesley streets.
“The centre is well-known for its wide variety of shops and food and beverage outlets, which attract a significant level of foot traffic daily. With entry and exits from both Queen St and Elliott St it is also a main pedestrian thoroughfare between the two streets and its western entrance is directly opposite Atrium on Elliott which is the CBD’s biggest shopping centre.”
Chan says the Mid City Centre is located in an area where a large number of people live and work in surrounding commercial and residential buildings and also draws clientele from a high volume of students studying at Auckland University, AUT and other nearby educational institutions.
“It is also close to many of the popular tourist destinations in the CBD and is one of Auckland´s major Asian-focused retail centres. The pool hall tenancy adjoins a larger basement unit which is currently being refurbished for the CBD’s first Asian supermarket. This should attract more foot traffic to what is already a high pedestrian count area - to the benefit of other occupants in Mid City.”