A vacant industrial premises in the tightly-held Waltham industrial environment is generating interest amongst owner-occupiers in competition for a limited number of available properties.
The centrally-located warehouse at 3 Iversen Terrace is in a prime position near the Four Avenues of central Christchurch – an inner road ring comprised of arterial boulevards surrounding the city centre.
Nick O’Styke of Bayleys Commercial says the property is offered to the market at a time of rising pressure on available supply, with tight industrial markets nationally driving upward pressure on rental growth.
“Increasingly, we’re fielding enquiry from occupiers disillusioned with rapidly escalating rental rates, and who following a period of expansion, are in a position to acquire their own premises as strategic investments.
“This is seeing occupiers compete with investors for a limited supply of available industrial properties - an issue set to intensify given challenges facing the development pipeline and the likelihood of fewer new projects hitting the market over the next five years.
“In the absence of new industrial land available right now, there has been huge growth in the sector, led by logistical operators and retailers requiring more room to store goods given the growth in e--commerce.”
O’Styke and colleague Anna Morawiec are marketing the premises for sale by auction at 2:00 pm on Thursday, 3rd August 2023 (unless sold prior).
Located in Industrial General zone, the property features a conventional industrial configuration spanning 573sq m (more or less) with a seismic assessment of 74 percent of New Building Standard.
There is 363sq m of warehousing supplemented by 160sq m of offices over two levels, 28sqm of mezzanine storage and a 20sq m canopy.
O’Styke says the property features an appealing ratio of clear-span warehousing to accompanying office and showroom space - which lends itself to broad appeal for a spectrum of potential occupants.
Immediate neighbours include various trades-based businesses and retailers, including multi-national furniture and consumer electrical product retailer Harvey Norman, which has a storage premises for overflow goods nearby.
The property has multiple access points, including wheelchair access to the side. In addition, there is a secure yard and car parking for five vehicles.
O’Styke says the established nature of the asset provides substantial appreciation potential should the new owner look to undertake add-value refurbishment works.
“Increasingly, owners of ageing industrial assets are finding productive ways to upgrade their building profile through more works such as racking systems, heavy-duty flooring and incorporating sustainable practices like solar energy and grey water recycling.
“This has the potential to return a higher rental rate, or provide owner-occupiers with an opportunity to tailor the premises to their operational requirements.
“Adding further to the value proposition, the location is second-to-none and positioned to benefit from connectivity to Moorehouse Avenue, the Southern Motorway and Port of Lyttleton, with the central city only minutes’ away.
“Waltham is surrounded by an established residential catchment, making the site an attractive location assisting with staff retention and short customer commuting distances.”