Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


Suburban retail shopping hub sell down continues

Suburban retail shopping hub sell down continues

The sell down of commercial units within urban Rotorua’s Redwood Centre retail and healthcare hub continues – with the Bin Inn store the latest to be placed on the market for sale.

The 4,500 square metre Redwood Centre some three kilometres east of Rotorua’s central business district opened in February last year – with 19 tenancies signing up to be part of the hub.

Every unit within the Redwood Centre which has been brought to the market for sale since then has been snapped up by either Rotorua-based investors or several retail business owner/operators within the precinct.

Among the tenancies which have been sold are: Burger Fuel, the Anytime Fitness gym’, Domino’s pizza, the pharmacy and physiotherapy practice, Couplands butchery, and Mt Tarawera Fruit and Vege’.

The latest individually-titled unit to go up for sale is the Bin Inn premises - occupying 220 square metres on a corner site, currently leased until 2021, with two further six-year rights of renewal taking the potential lease term out to 2033. The property generates $48,000 of income per annum, with regular reviews scheduled over the length of the tenancy.

The single storey Bin Inn retail site is being marketed for sale by Bayleys Rotorua through an auction taking place on July 31. Bayleys Rotorua salesperson Mark Rendell said the continuing process of ‘drip feeding’ Redwood units onto the market was part of the developer’s business model. That model encompassed firstly converting the corner location from a dated, underutilised site into a slick, fully-tenanted retail draw card straddling Rotorua’s central business district on one side, and the leisure-focused lakes district on the other.

“The sale of all the tenancies within the Redwood Centre to date reflects the sustainability and attraction of its location, the quality of build, and the spread of tenants occupying the development,” Mr Rendell said, “and there is every indication that trend of strong investor support will continue with the Bin Inn property.”

“The commitment of a new, long-term lease by the existing tenant has underpinned the attraction of the property from a pure investment perspective. The building’s near-new age also means that there is minimal maintenance and certainly no modernisation budget requirements which have to be accrued for.

“From an investment perspective, the sites within Redwood really do tick all the boxes, and have shown to deliver excellent rental yields well in excess of some of the more dated commercial investments around the city.”

Bin Inn is 100 percent New Zealand owned and operated retail brand with 35 stores nationwide – stretching from Kerikeri in the north to Invercargill in the south. The store sells wholefoods, fruits, grains and speciality produce – discounting products through a bulk packaging model.

Redwood Centre has communal parking for some 205 vehicles – optimising shared usage periods throughout the day and into the evening. The hub operates under a body corporate management structure. All buildings within the development, including the Bin Inn unit, are constructed of tilt slab concrete with long run steel roofing. The Bin Inn property has certification for 100 percent of New Building Standards.

The fit out of the Bin Inn premises is open-plan boutique supermarket style. The retail space has a suspended ceiling with air conditioning. Located at the rear of the tenancy is a large staff room, toilet, cleaner’s sink, and storage room with access onto a service lane.


© Scoop Media

Business Headlines | Sci-Tech Headlines


Banks: Westpac Keeps Core Government Transactions Contract

The local arm of Westpac Banking Corp has kept its contract with the New Zealand government to provide core transactions, but will have to share peripheral services with its rivals. More>>


Science Investment Plan: Universities Welcome Statement

Universities New Zealand has welcomed the National Statement of Science Investment released by the Government today... this is a critical document as it sets out the Government’s ten-year strategic direction that will guide future investment in New Zealand’s science system. More>>


Scouring: Cavalier Merger Would Extract 'Monopoly Rents' - Godfrey Hirst

A merger of Cavalier Wool Holdings and New Zealand Wool Services International's two wool scouring operations would create a monopoly, says carpet maker Godfrey Hirst. The Commerce Commission on Friday released its second draft determination on the merger, maintaining its view that the public benefits would outweigh the loss of competition. More>>


Scoop Review Of Books: She Means Business

As Foreman says in her conclusion, this is a business book. It opens with a brief biographical section followed by a collection of interesting tips for entrepreneurs... More>>


Hourly Wage Gap Grows: Gender Pay Gap Still Fixed At Fourteen Percent

“The totally unchanged pay gap is a slap in the face for women, families and the economy,” says Coalition spokesperson, Angela McLeod. Even worse, Māori and Pacific women face an outrageous pay gap of 28% and 33% when compared with the pay packets of Pākehā men. More>>


Housing: English On Housing Affordability And The Economy

"Long lead times in the planning process tend to drive prices higher in the upswing of the housing cycle. And those lead times increase the risk that eight years later, when additional supply arrives, the demand shock that spurred the additional supply has reversed. The resulting excess supply could produce a price crash..." More>>


Get More From Scoop

Search Scoop  
Powered by Vodafone
NZ independent news