Popular East Auckland Complex Retail Unit for Sale

With suburban shopping precincts among the strongest-performing retail asset classes, a fully-tenanted unit within an established convenience complex in East Auckland will appeal to entry-level commercial investors seeking reliable income.

The Merton East Retail Centre in Felton Mathew Avenue, Saint Johns was developed in 2012 by experienced commercial developer, Argyle Property Group. Since that time, Unit 2 which is now for sale has had just one owner, and been fully-occupied operating as a liquor outlet under the well-established Liquor Centre umbrella.

The subject unit has a floor area of 212sqm, and comprises retail store space to the front, a rear chiller room, storage, and kitchenette/office and bathroom amenity areas. The premises recently underwent a minor renovation, with fitout work completed in early-2024. Ample customer carparking is shared in common with other businesses in the centre, with around 74 car parks available.

The property generates annual net income of $73,027 plus GST, with two-yearly rent reviews to the higher of market or CPI. The tenant is trading as St Johns Liquor Centre and the property is secured by a long-term lease that commenced on 10 October 2019, with a further five-year extension currently under negotiation, expected to provide potential income security through to September 2044. The lease is further supported by a six-month bank guarantee from a New Zealand registered trading bank, providing on-demand income security and a strong covenant position.

Neighbours in the complex include the standalone Carl’s Jr outlet, Columbus Coffee, Jetts Gym, Saint Johns Butchery, Thai eatery Mae Nam Khong, Socials Laundromat, and upper level occupiers Chandler Dance Academy, and Framecad. Woolworths St Johns is directly across the road, and Colin Maiden Park with sportsgrounds is nearby.

The site itself is zoned Business-Mixed Use and is strategically positioned on a high-profile landholding at the roundabout intersection of Merton Road, Felton Mathew Avenue and Morrin Road with high exposure to passing vehicle traffic.

Unit 2, 115 Felton Mathew Avenue, Saint Johns, will be auctioned on Wednesday 20th May, unless sold prior, and is being marketed by Matt Lee and James Chan of Bayleys Auckland.

Affordable retail investments with the advantage of favourable lease covenants rarely come to the market, says Lee, meaning this offering will appeal to passive investors looking for a foothold in a popular suburban location.

“The property has delivered consistent performance throughout the current 14‑year ownership period, with a single tenant in place the entire time. A long‑term lease provides income certainty, with expected amendments to the lease structure further underscoring the tenant’s commitment to the site.

“These fundamentals are lender‑friendly and will resonate with first‑time investors seeking stronger returns in a lower term deposit rate environment.”

Lee says the immediate area comprises a balanced mix of commercial, industrial, and residential uses, with little competing retail supply.

“The neighbourhood centre’s success is driven by the strength and diversity of its occupiers, spanning retail, food, and service offerings.

“The centre draws a loyal customer base from the immediate catchment and surrounding suburbs including Glen Innes and Meadowbank. With Woolworths directly opposite, it functions as a convenient one‑stop suburban hub.”

Positioned at the intersection of three busy arterial roads, the property benefits from strong visibility and exposure, with further growth anticipated for the wider area.

“Approximately 250 metres from the complex, a mixed‑use development known as ParkCity is planned on the circa‑12‑hectare former University of Auckland Tāmaki campus site,” Lee says.

“Connectivity is also a key advantage, with Glen Innes train station just 700 metres from the property.”