The property

• Modern, 1,990sqm bulk retail-style facility plus 150 car parks, on a circa-8,750sqm freehold site
• Strategic position just minutes from the Airport and 10 minutes from the Christchurch CBD
• Leased to national fitness provider CityFitness on a new 12-year lease returning $663,173.53pa + GST and outgoings
• Lease has CPI-linked annual rental growth, market reviews every six years, and two further rights of renewal taking final expiry out to 2049
• Zoned Industrial

Quick look

• National Total Property marketing campaign via deadline private treaty
• Interest generated from Bayleys’ nationwide Total Property magazine, databases, print ads, multiple digital platforms, national PR coverage
• Property was under contract immediately following the launch of the campaign
• SOLD with the price confidential
• Purchased by a local passive investor  

The story

It was a case of “right place, right time” for the purchaser of this investment grade industrial property in the established and sought-after Burnside mixed-use precinct.

Having missed out on another opportunity, the buyer was on high alert and swooped on the Roydvale Avenue property when it was launched to the market in Total Property, recognising that its location, scale, low site coverage, and flexible zoning positioned it favourably for returns, long-term growth and adaptability.

The strong occupier commitment from CityFitness, the largest and most prominent gym in the Burnside area plus more than 50 other locations around the country, sealed the deal. Jesse Paenga, William Wallace and Mike Houlker of Bayleys’ national capital markets team handled the sale of the asset.

Christchurch’s proven commercial and industrial property performance across market cycles has been characterised by competitive yields, favourable land pricing, and renewed investor confidence – meaning quality assets are highly contested.

“This was a clean, simple investment that was the perfect fit for the local passive investor who secured the property very early in the campaign,” says Paenga.

“It is testament to the Christchurch market that even in times of economic flux and global uncertainty, quality assets will sell – and sell, well.”  

Vendor comment

Centuria senior asset manager Gavin Fiddes said the sale represented a good outcome for its Centuria NZ Diversified Property Fund investors.

“The recently signed lease extension to 12 years was reflected in the strong sale price, which was at a clear premium to the property’s most recent valuation.

“The deal came together seamlessly for all parties. As with any negotiation, issues emerged along the way which were dealt with proactively and pragmatically by the Bayleys team.”