Investors in the Driver’s Seat to Buy Automobile Association Regional Office
The land and buildings housing the regional headquarters for New Zealand’s leading automotive services and support company have been placed on the market for sale.
The Wanganui branch of the Automobile Association(AA) is located at 202 Victoria Avenue on the high profile corner site of Victoria Ave and Ingestre Street in the city’s central business district.
The Automobile Association provides such services as road-side breakdown assistance, insurance, finance, a fuel card loyalty programme, travel packages, accommodation and tourism guides, and is a Government advocate for automobile users nationwide. The AA is governed by a national council supported by 17 district councils. Wanganui is one of the regional branches.
The Victoria Avenue property is being marketed for sale by auction on October 26 through Bayleys Palmerston North.
Salesperson Karl Cameron said the corner site building was just three years old, and was purpose-built for the Automobile Association to its operational specifications.
The AA is currently on a nine-year lease on the property running through until 2023, with two further four-year rights of renewal. The AA pays an annual net rental of $64,787 + GST, with regular scheduled rental reviews linked to the consumer price index.
“Victoria Avenue is the main retail strip shopping precinct in Wanganui. This is a very striking building and sits on a superb corner location for the AA premises and offers easy access for the clientele utilizing the tenant’s various services. It ticks all the boxes, having a first class tenant on a long lease term , in a 100% seismically rated building ,” Mr Cameron said.
The property comes with car parking for five vehicles, with additional parking on both Victoria Avenue and Ingestre Street immediately outside the AA premises.
The first, and last time the property came up for sale – in 2014 – it was purchased by a Christchurch commercial investor, who bought the property whilst he was competing in a charity golf tournament. The bidding spanned three holes of the tournament – which the buyer went on to win. He had a good day.