A 31 unit former motel complex in Henderson now leased up as short term residential tenancies presents an excellent development opportunity with good cash flowholding income while a new owner considers future options.
"This is an offering that will appeal to developers, land bankers and property investors," says John Stringer of Barfoot & Thompson Commercial who, with colleague Eddie Zhao, is marketing 252 Great North Rd for sale by tender closing at 4 pm on Thursday March 10 at the agency's 50 Kitchener St office in Auckland Central.
The complex with a total building area of 1801 sq m, occupies a freehold land area of 3562 sq m. A 1210 sq m accommodation block contains 24 studio units, one one-bedroom unit, and five two-bedroom units. Other parts of the complex encompass a four bedroom house of 162 sq m, balconies and walkways of 360 sq m, a car port of 50 sq m and a spa building of 19 sq m.
"This property is successfully being run under management and is earning about $417,000 per year net," Stringer says.
"It operated as a motel business until the middle of last year and was rapidly 100 per cent leased up on a short term individual residential tenancy basis. The landlord can terminate these tenancies by giving not less than 42 days' notice while the tenants may terminate by giving 21 days' notice."
