"There are currently eight tenants on varying lease terms occupying the site with gross holding income of around $190,000 per annum plus GST," says Faisandier. "This will allow for some breathing space for a new owner to consolidate future plans for this site."
He says the Petone Commercial (plan change 29) zoning allows for numerous options to potentially redevelop all or part of the property.
"In 2007, resource consent was granted for 80-plus apartments on the site however, a prospective buyer will no doubt do their own analysis to determine the best and highest use for this land," Faisandier says.
"The plan change which is operative from September this year allows for creative use of the site and has been designed to allow a greater range of activities in this part of Petone.
"This site could be earmarked for a range of complementary commercial, small-scale or low intensity light-industrial, business and service activities, residential and large format retail activities."
Faisandier says the gentrification and revitalisation of Petone as a destination shopping precinct, largely focused on the main Jackson Street, is continuing unabated.
"Jackson Street has always had a good commercial story to tell. In recent years, a raft of developments in the vicinity has reinforced the fact that this central Petone location has great underlying fundamentals including a well-located train station, being relatively close to the Wellington CBD and main arterial roading routes, and its flat terrain."
The former Working Men's Club on Campbell Terrace was constructed in 1927 with seismic strengthening undertaken in the 1990s but it is not registered with Heritage New Zealand.
Situated behind this building is the former Empire Theatre which dates back to 1914 and is currently being used as an industrial workshop.
Towards the front of the site is a mix of single-level workshop space with some yard area, most of which is occupied by R.S. Lane panel beaters.
"It is generally thought that the existing buildings will provide limited additional value to the property beyond the holding income," says Faisandier.
Big box retail operators have pinpointed Petone as a preferred location with most of the major players already represented and more on their way. Briscoes is developing two stores, Briscoes and Rebel Sport on the ex-Colgate site on Nevis St; Bunnings is cementing a presence in the Te Puni mail centre when NZ Post moves out in coming months, and the former Feltex site in Hutt Road is being transformed into a flagship Kmart store.
