Owner-occupiers looking for industrial premises are finding opportunity in the current market with agents reporting strong interest for vacant warehousing in established and proven precincts.

The vacant multi-warehouse property for sale at 69 Waione Street, Petone typifies the sort of stock finding traction with business owners wanting to own rather than lease real estate for their industrial operation.

Zoned General Business and having a 45-metre frontage to one of the busiest arterial roads in the Hutt Valley, the Waione Street property occupies a 2,949sqm site and comprises a series of medium and high-stud clearspan warehouses with office space and amenities with a total floor area of 2,791sqm. There is an internal secure 260sqm yard, and the property has secondary access from East Street.

While currently configured as two separate tenancies, the warehouses could easily be interconnected if the entire site is required by one occupier.

The first tenancy has 2,171sqm lettable area across three warehouses of varying size and stud heights, ground floor showroom, ground and first floor offices plus amenities. The second smaller tenancy has 620sqm lettable area across one low-stud and one high-stud warehouse, office space and amenities.

There are seven car parks across the Waione Street frontage and the property has been upgraded in recent years, with new facades, partial re-roofing, new LED lighting, and sprinkler systems, along with refurbishment and reconfiguration of office and amenity areas.

With an assessed potential net annual rental of circa-$509,000 plus GST, the property is being sold by tender closing Wednesday 2nd July through Oliver Hourigan and Andrew Smith of Bayleys Wellington Commercial.

Seeing more than 30,000 vehicles passing each day, and with Waione Street being an extension of Petone’s busy The Esplanade, Hourigan says this is a proven location for industrial occupiers and the property has sound credentials for a business wanting to walk in and hit the ground running.

“It provides close to the optimal split of warehouse, showroom and office space for efficiencies, so owner-occupiers looking to upsize or relocate will recognise the locational benefits here.

“Even if they don’t require all of the space right now, a business could occupy the larger component of the property and lease out the balance knowing that it’s there for expansion if needed in the future.”

Owner-occupier buyers are currently outperforming investors for vacant industrial stock, with investors generally seeking well-tenanted properties to secure funding and provide income, says Smith.

“This Waione Street property provides opportunity for a business to ditch the landlord, gain agency over their own premises, and to buy well in light of some of the value shifts we’ve seen for vacant stock across the market.

“Building ownership for businesses with decent cashflow and a desire to invest in an appreciating asset is a viable option in the current lending environment, with banks appearing keen to enable owner-occupation.”

Waione Street is the main link road from Seaview/Gracefield, the eastern bays, Wainuiomata and the lower eastern side of the Hutt Valley and provides connectivity with the urban motorway, Stat Highways 1 and 2, and the Wellington CBD.