Albany property flies high on auction day
9 Tawa Drive, Albany, Auckland
- 2,457m² corner site
- Medium-stud warehouse, office and amenities with total building area of 1,458.58m²
- 25 car parks
- Net rental $245,000pa + GST and outgoings
- Zoned light industry
- Fully-leased to multi-national tenant, Xylem Water Solutions New Zealand Limited
- National Total Property marketing campaign with auction method of sale
- First time on the market for 20 years
- SOLD for $$5,380,000 with 4.55% yield
- 100 enquiries and 12 bidders in the room on auction day
- Purchased by a high net worth local investor
Seasoned agent Matt Mimmack of Bayleys North Shore Commercial says the Tawa Drive property ranks as the best he’s sold in 12 years working in that market.
“You just can’t beat the location with great visibility, good access to the motorway and the neighbouring presence of some of this country’s leading businesses,” says Matt.
“The longstanding multi-national tenant was also appealing to investors and the amount of enquiry we received confirmed what the vendors and Bayleys’ agents knew – this was a special property.”
An unexpected seismic issue that came to light during the campaign was a hiccup that Matt wasn’t counting on, but it was easily rectified.
“The vendors warranted to remedy the issue and this formed part of the terms and conditions on auction day,” he explains.
“The vendors were a pleasure to do business with and the outcome achieved on auction day showed that commercial property is a proven vehicle to growing your capital investment.”
Peter Creedon, speaking on behalf of the owners, says this property was always their number one investment.
Twenty years ago, four retired airline pilots got together and formed a company to buy some commercial investment properties.
Peter says airline rules means early retirement for pilots, so the group needed an interest and commercial property has served them well.
“We bought several Auckland properties over the years but the Tawa Drive property was our only North Shore acquisition and the one we held on to the longest,” says Peter.
“One of the partners, Dave, was the finance manager, I was the property manager, and others in the group helped out when needed – it was a team effort.
“The property has had the same tenant (with name changes) the whole time we’ve owned it and we’ve always enjoyed a good relationship with them.”
Peter says now that the group is into their 80s, it was time to sell their last property to release the capital.
When auction day rolled around, Peter says they hoped to get close to $5million based on feedback and their own take on the current market.
“We were extremely pleased with the final result and that’s due in no small part to the work that Matt Mimmack put in for us.
“We really valued his experience and his calm manner in sorting all the details for us.”
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