Neighbourhood shopping blocks up for sale offer convenient investment options
Two neighbourhood shopping blocks with tenancies focused on servicing the household needs of their local clientele have been placed on the market for sale.
The portfolio of properties are all located in South Auckland residential neighbourhoods. The two locations are being sold by Bayleys Real Estate - with just the land and buildings on offer in both instances.
First up is a pair of 97 square metre shops in the suburban retail hub located at 439 Roscommon Road in Clendon Park. The two freehold units are being sold separately.
The first unit houses the Clendon Foodmarket which is on a current six-year lease running through until 2021 generating an annual return of $41,600 plus GST. The second unit contains the Crown Liquor shop which is on a current six-year lease running through until 2020 generating an annual return of $43,201 plus GST.
The Roscommon Road units are being marketed for sale at auction at 11am on October 24 through Bayleys. Salespeople Matt Lee, Quinn Ngo and Piyush Kumar said the two shops were part of newly-built retail block which contained a total of five units on the corner of Robert Ross Place.
Mr Ngo said other shops in the three-year-old block consisted of a bakery, a laundromat and a fried chicken takeaway food purveyor. Meanwhile, commercial neighbours in the vicinity included McDonalds, Domino’s pizza, Mobil, The Warehouse and Pak‘nSave.
“Being relatively new, the shops are very low maintenance and face toward a communal car parking space - which underpins the ‘convenience’ nature of this block,” Mr Ngo said.
Elsewhere in South Auckland, an entire block of shops at 60 – 62 Tiraumea Drive next door to Anchorage Park School in Pakuranga is being marketed for sale by deadline private treaty (unless sold prior) through Bayleys Manukau, with offers closing on October 22.
The 421 square metre block on some 889 square metres of land generates annual income returns of $80,221 plus GST and outgoings. The location is zoned business neighbourhod centre. The freehold block consists of three retail shops – a diary, takeaway food outlet, and a hairdressers – with residential accommodation at the rear of the shops.
“The multiple tenancies within the Tiraumea Drive block ensure a split-risk investment. There is customer car parking for six vehicles directly in front of the shops, and additional staff and residents’ parking at the rear of the shops,” Mr Chaudhary said.
“There is also the potential in the future, subject to consent under the Auckland Unitary Plan, for the entire block to be remodeled – with residential dwellings to be developed on two upper storeys while retaining the existing street-level operations or reformatting the flat facing onto Tiaka Place,” he added.