A strategically located and fully tenanted Kāpiti Coast industrial asset offering scale, income, and long-term potential has come to the market at a time when stock is in high demand from investors.

The substantial 11,149sqm freehold site at 58 Ruahine Street, Paraparaumu supports a 1,230sqm industrial building backed by a quality tenant covenant. The modern single-level steel portal frame warehouse was built in 2008 and offers practical high-stud clear-span space divided into functional workshop and warehousing zones plus supporting mezzanine office and amenities, and has multiple roller door access points, including to the rear yard.

The site within the established Paraparaumu industrial precinct provides generous yard space for manoeuvring, container set-down or additional parking giving flexibility for a wide range of industrial users and effectively future-proofing the appeal of the property.

Fully occupied by civil construction firm Higgins, which is part of Fletcher Construction, the current five-year lease term commenced 1st November 2023, and has a further two, five-year rights of renewal, along with built-in market and CPI benchmarked rental reviews. The property is returning net annual income of $245,163 plus GST and outgoings, with fixed rental uplift in 2026 providing upcoming income growth.

Johnny Curtis and Fraser Press of Bayleys Wellington Commercial are calling for tenders on the property, closing 13th August.

The Kāpiti Coast industrial investment market has held its ground throughout economic flux, says Curtis with robust demand for pivotally located property anchored by proven occupiers.

“This Ruahine Street property fits the investor bill by having a reputable long-term occupant with an established trading history, good seismic credentials, and providing a highly functional mix of warehouse, yard, and office spaces which enhances leasing flexibility into the future.

“Additionally, it’s a sizeable piece of land with a large yard area to the front and, while suited to the current occupier’s operation, the site is arguably underutilised which gives expansion or redevelopment options down the line.”

Curtis points to the recent sale by Bayleys of a fully leased industrial property in Te Roto Drive, reflecting a sale value of $2,850,000, as evidence that the industrial sector is a resilient and in-demand asset class.

“Bayleys received four offers on that property, with three being unconditional which demonstrates investor motivation and commitment for well-positioned tenanted properties in what is an identified growth node in the wider region.

“The market dynamics at play on the Kāpiti Coast are quite different to those in Wellington and are underpinned by the connectivity advantages being unlocked by roading improvements within the northern corridor.

“Transmission Gully and the expressway from McKay's Crossing to Ōtaki have streamlined traffic movements for businesses and made commuting for residents safer and quicker. Northwards population drift is tangible, with an uptick in residential building consents and the green light for several large-scale residential development projects proof that the Kāpiti Coast market is evolving.”

The Kāpiti Coast population is forecast to grow by 40 percent by 2050 which will support the need for well-located industrial and commercial property in the high-growth area and underpinning the value of the Ruahine Street property – particularly for construction-related tenants

Ruahine Street is minutes from State Highway 1, close to the Paraparaumu town centre, and has optimal connectivity to key transport routes, including the nearby expressway interchange.