"One of the features of this site is that it's zoned for both Auckland Grammar and Epsom Girls' Grammar schools, which makes it particularly attractive for residential development."
The resource consent provides for ground floor retail with 10 levels of apartments above on part of the site, plus basement carparking.
"The next owner could activate this consent straight away or look at more intensive development options. Alternatively, they could utilise the existing buildings for occupation, or to provide income in the medium term, given the expectation that the underlying land value will continue to rise," says Haydock.
Existing buildings on the site total about 644 sq m. Built in the late 1930s, the main building was later extended and provides 561sq m of office accommodation. There is a large open plan area on the ground level along with a number of partitioned offices and amenities over two levels.
There is also an 83sq m single-level brick building at the rear of the site, previously used as a display suite/showroom.
"The main office building has been home to some high-profile occupants, including Lion Breweries and, in more recent times, Morton Estate, and would suit an owner/occupier looking for premises with a point of difference," says Bullick.
"There also continues to be high demand from tenants for office space that has personality and character and this building certainly fits that description, given its attractive appearance and features including large windows, high stud and timber flooring.
"With some refurbishment, it could provide an opportunity for a developer or add-value investor to generate considerable holding income."
Access to the property is from Mountain Rd and there is a right of way over the neighbouring property on the northern side of the site. There are 12 open-air car parks at the rear and side of the buildings.
The surrounding area contains a mix of modern commercial buildings and apartments. A Les Mills fitness centre, which has frontage on to Khyber Pass, is next door, and directly across the road is St Peters College. Auckland Grammar is about 400m to the south along Mountain Rd.
"Other attractions within easy walking distance are Auckland Domain, Auckland University's Newmarket campus and the Newmarket shopping and dining precinct, which will be further enhanced by the Scentre Group's massive redevelopment and expansion of the Westfield Mall.
"The property also benefits from transport links, with Grafton train station a short stroll away, as are bus links. There is also easy access to the southern motorway via the nearby Khyber Pass interchange."
