The Mount proves its popularity once again

The Mount proves its popularity once again

33 Totara Street, Mount Maunganui

The Property
- 533sqm, 2-level commercial property
- High-profile 800sqm freehold commercially-zoned corner site
- Sold with vacant possession
- Property is at 85% NBS
- On-site carparking for 17 vehicles
- CV: $1,560,000
- Close to downtown Mount Maunganui and 5.5km to Tauranga CBD
Quick Look
- National Total Property marketing campaign with auction sale method
- More than 140 enquires received
- Strong bidding with interest from prospective buyers nationwide
- SOLD for $3.04 million + GST ($3.5 million inclusive)
- Purchased by a local Bay of Plenty owner-occupier
- Developer from Hamilton the under bidder

The Story

This Mount Maunganui property was always going to be a hit with potential buyers given that its location is one of the most desirable and sought-after in the booming Bay of Plenty region.

Brendon Bradley of Bayleys Tauranga marketed the property with Lynn and Ryan Bradley, and says growth in the Bay and the shortage of quality properties coming to the market in Mount Maunganui meant the auction campaign drew investors and owner-occupiers out in force.

“The fact is, there’s no more land available in the Mount and so when properties do come up for sale, the wallets open,” he says.

“There was strong interest from buyers in Queenstown, Wellington, Auckland and the Waikato and they were up against motivated local buyers who know the market intimately.”

With business confidence high, its main industry sectors performing well and infrastructural upgrades well-advanced, the Bay of Plenty is out-performing many other regions and remains a hot spot for investors.

Vendor Comment

The vendor was First Credit Union and auction was the clear preference when it came time to sell.

John Harvey, who is on the board of directors for First Credit Union, says the not-for profit financial cooperative has realigned its Bay of Plenty property portfolio and consolidated its front-line business operations into a commercial property in Cameron Road, Tauranga.

Hence, the sale of the Totara Street property.

“This was a strategic sale for First Credit Union and we always knew it would be a very popular property,” says John.

“As soon as word got out that we were moving from the site, people were keen to purchase the property so auction was the most transparent way for the market to compete for it.”

John says the sales price achieved in the auction room far exceeded the directors’ expectations and proved that commercial property is a sound investment vehicle.

“The auctioneer Stephen Shale extracted the very best price out of the auction room and he ‘read’ the buyers very well.”

Purchaser Comment

Shannon Moyle, director of construction company Form Building and Developments, says the purchase will allow the company to streamline its business operations and also bring in an income stream.

The well-established and reputable construction company needed a new head office base for its 50-plus staff and Shannon says he’d been scoping out potential sites for some time.

“We’d outgrown our former premises so now we’ll start afresh to redevelop and maximise the site with a three-level building creating a purpose-built home for our business along with a tenancy for lease,” he says.

“I’d done my property homework and knew that I wasn’t going to get a bargain but I’m more than happy with the price paid and looking forward to progressing the new build.”

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