Christchurch industrial property hits the spot
29 Epsom Road, Sockburn, Christchurch. Sold 6th October 2017
- Quality industrial building constructed in 2011
- 498m² lettable floor space with high stud warehousing and office accommodation
- Divided into two mirror-image tenancies
- Ample onsite car parking
- Assessed at 90% of current building standards
- Established tenants
- Rateable value $980,000
- National Total Property marketing campaign with auction method of sale
- 18 direct enquiries on the property – mainly Christchurch locals but also from Wellington, Auckland and Wanaka
- 5 active bidders on the day
- Sold to a local investor
- Sold under the hammer for $1,200,000 at a 6.25% yield
Marketing this freehold industrial investment property in the popular Sockburn area kept Bayleys Canterbury agent Nick O’Styke on his toes with plenty of genuine interest coming from motivated buyers.
With two established tenants, 90% new building standard rating, excellent profile to the street and good parking, it fit the criteria for a well-performing and desirable investment property.
“Sockburn is a well-established commercial and industrial hub that is just a short drive to the city centre via Blenheim Road or to Christchurch Airport via Russley Road and it’s considered to be one of Christchurch’s best industrial areas,” says Nick.
“Christchurch is an appealing industrial market for astute investors – as evidenced by enquiry I received from out-of-town buyers.
“However, it’s good to see the property remain in Christchurch hands with a local investor beating out the competition on auction day.”
Purchase of another industrial property prompts sale of this one.
Christchurch resident and repeat Bayleys’ client Bill Butler, had owned the Sockburn property for around five years and says it had been a sound investment in a sought-after industrial area.
“It’s a good property. The decision to sell was made because I have bought another industrial property as a base for my son’s kitchen joinery business and so it made sense to free up the capital in one to fund the other,” he says.
No stranger to the auction process having bought and sold by auction several times before, Bill says he was pretty confident of a good result under the hammer given the buoyancy of the industrial property market in Christchurch currently.
“The feedback had been good in the lead up and yes, I was very happy with the price achieved on auction day.”
“Nick knows what he’s doing and it was all straightforward.”
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