He sees an opportunity to purchase two modern standalone office buildings in a fast-growing location.
"Located some 40km northwest of Tauranga, Katikati is a vibrant township, known for colourful murals and idyllic coastal-pastoral setting.
"Several new areas of residential land have been opened up for development, attracting a growing population with quality new housing. These are serviced by a busy main street offering a great selection of shops, cafes, bars and restaurants."
Clark says the property for sale is directly behind the main retail precinct, offering a more relaxed atmosphere for office accommodation.
"It has ample on-site parking and ideally sized tenancies that benefit from great natural light from windows on all sides. Modern buildings of this quality are rarely available in Katikati, most being older premises. This will ensure the property remains attractive to tenants well into the future," he says.
The air-conditioned buildings are zoned for commercial use:
• Units 1 and 2 comprise the smaller building at the south of the site, which has a net lettable area of 412sq m. It is for sale with an asking price of $1.25m. This building is tenanted by Katikati Chartered Accountants, which occupies two of the four tenancies, along with Tamihai Ltd and law firm Forbes Hare. These leases return $87,404 plus GST in net annual rent.
• Units 3 and 4, in the larger building at the north of the site, have a combined net lettable area of 509sq m. This building is tenanted by Viva Cafe, which provides a focal point for the complex, as well as Accumulus Accountants, Kaimai Law and Inline Drilling. The leases return $114,965 plus GST in net annual rent. Tamihai Ltd and Inline Drilling, are on month-by-month tenancies at discounted rentals. The vendor will agree to lease-back these tenancies for two years at market rentals, to give the new owners time to find suitable new long-term tenants. The remaining tenancies are on terms of two to four years, each with three or more rights of renewal of three years each.
White says that for southbound motorists, Katikati acts as the gateway to the prosperous Tauranga region.
"SH2 runs through the town, putting it only two hours from Auckland and Hamilton, and under half an hour from Tauranga and Mount Maunganui."
White believes Katikati is rapidly gaining popularity due to its relaxed atmosphere and lifestyle opportunities, in effect acting as a dormitory suburb for now populace Tauranga City.
"Katikati's population has grown three times faster than the national average since 1950, with estimates putting the current population at 4530.
