An attractive investment opportunity has emerged in the heart of Matamata, as a fully leased commercial property boasting a diversified tenant mix and an impressive income stream is presented to the market for the first time in more than five decades, Bayleys brokers say.

Brendon Bradley of Bayleys Tauranga is marketing the 2,584sqm (more or less) freehold property at 19-31 Arawa Street for sale by auction at 1:00 pm on Wednesday, 12th March 2025 (unless sold prior), alongside colleagues Ryan Bradley and Josh Smith.

“Positioned within the town’s tightly held business district, the property spans two adjoining buildings that have evolved with the needs of their tenants since their original construction in the 1960s.

“Offering a substantial landholding in Commercial Business zone with direct access to Arawa Street, this proven performer presents a strategic opportunity for investors seeking a split-risk asset in a stable regional market,” he says.

The gross lettable floor area of 1,162sqm (more or less) currently returns an annual net income of circa $195,517 plus outgoings from five occupants and a lease for a cell tower.

Ryan Bradley says the asset features a varied mix of office, medical, veterinary and legal services, as well as the telecommunications facility.

“Lease terms range from two to six years, with renewal options extending final expiries as far as 2038. The various tenants contribute to rates, insurance and building compliance costs.

“Upside from strong tenant credentials is a key drawcard of this investment, with established professional operators and multifaceted income a rarity among New Zealand’s provincial commercial markets.

“Additionally, anchor business Edmonds Marshall Lawyers have traded from the premises since construction some 55 years ago - a testament to the property’s enduring appeal and stability as an investment.”

The building at 19-25 Arawa Street was the first to be constructed, with major additions in 1979, 1982, 1992 and 2006. It sustains three tenancies, including the law practice, and features external Hinuera stone walls, a covered cobblestone walkway, shared parking and a street-front canopy. It has a seismic assessment of 45 percent of NBS.

The premises at 27-31 Arawa Street were built circa 1985 with subsequent internal alterations. It houses two office tenancies and features a landscaped frontage, a pedestrian walkway, and an A-grade seismic rating.

Bayleys Hamilton broker Josh Smith says that both buildings are well-positioned in Matamata’s business area, benefitting from the town's accessible location – at the crossroads of State Highways 24 and 27.

“For investors, this ensures good visibility, strong tenant demand, and steady foot traffic, making it a resilient and well-connected purchase in a growing regional hub supported by broader commercial activity within the ‘Golden Triangle’ economic hot zone.

“With rising demand for regional commercial investments that offer passive income and long-term security, this sale represents an exceptional opportunity to secure a time-tested asset in a dynamic growth location within 2.5 hours of 50 percent of New Zealand’s population.

“Acquisitions like this, where a well-maintained, fully leased commercial property comes to market after 55 years of family ownership, are few and far between. The property’s mix of professional tenants, premium landholding, and strategic town centre positioning make it a standout investment in any market cycle.”