Tenanted Albany building ticks all the boxes

The Orbit Drive building has a high-stud warehouse, tilt-slab construction and good offices and amenities. Photo / Supplied

Rob Meister of Harcourts Commercial Takapuna is offering a high-quality light industrial building for sale at 7B Orbit Drive in the Albany area with a new lease to Mighty Ape, a leading distributor of electronic games and gadgets.

"The 995sq m building has an asking price of $2 million (plus GST, if any) and, with an annual net rental income of $160,000, the yield is 8 per cent which compares favourably to other investment properties and other forms of investment," Meister says.

"It ticks all the boxes as an investment in terms of building location, building quality and features, tenant profile and return on investment." The freehold property is within a unit title development and comes with 18 car parks, four of which are under cover.

Completed in 2006, the design and construction includes high-stud warehouse, tilt slab construction and good offices and amenities.

"Given the age of the building combined with limited use by the previous owner, it is a property in excellent condition that has all the usual modern facilities such as ducted air-conditioning, open-plan office area, glass enclosed office areas, two sets of bathrooms and two kitchen areas," Meister says.

"There are 18 carparks and a hard stand area for container drop off. Additionally the building has high-spec security features that include CCTV security, alarm systems with glass sensors and warehouse security bollards. Racking is a breeze with the 9m high-stud warehouse that is well-suited to the tenant's products."

Orbit Drive is in the heart of what is known as the Interplex at Albany Zone, a development area that has strict controls on building design, construction quality, signs, tenant type, noise levels and emissions.

"This has ensured that building quality has been matched by tenant quality and tenanted properties have been tightly held over the past few years," Meister says. "What is very appealing is the quality of the neighbouring properties and the calibre of the tenants in the Orbit Drive and Apollo Drive area which is a key factor contributing to higher rental values and to the attraction and retention of tenants. It's the first choice locale for office/warehouse tenants on the North Shore."

Meister says the vendor used the property as an owner-occupier for a distribution base and instituted design changes during development to add a high-quality boardroom/showroom and an adjoining full kitchen with bar facilities for client functions and sales events.

"It is being sold because the business model of the owner has changed from importing, warehousing and distribution to sourcing and indenting on behalf of clients. Now the building has been tenanted it is time to move on."

Mighty Ape specialises in the online sale of electronic games and gadgets.

"Mighty Ape outgrew its previous building which it occupied for many years and see the move to Orbit Drive as one that will last a long time," Meister says.

The new lease has an initial term of three years supported by personal guarantees and has a right-of-renewal for a further term of three years.

"Demand for property in the area has increased from both tenants and owner-occupiers and I sold another property within the six-unit development at 7 Orbit Drive just last month to an owner-occupier," Meister says.