Adelaide Road duo offer enviable investment opportunities

Two high-profile commercial investment properties at the city end of sought-after Adelaide Road are up for tender individually with Bayleys Wellington with a close date of 3 November.

With high traffic counts and unprecedented profile, Adelaide Road is seen as a prime commercial investment zone and the two adjacent properties represent a rare opportunity to secure decent freehold landholdings in this area.

There’s rental upside associated with 59-73 Adelaide Road, with two vacant offices waiting to boost the already healthy net rental income of $214,000 per annum from anchor tenant, appliance giant LV Martin and Son Limited and giftware and furniture importers, Molesworths Ltd.

“The property has a potential net income of $276,000 per annum if the vacant offices were re-let,” says Mark Hourigan of Bayleys Wellington who is marketing the property with colleagues Mark Walker and Fraser Press.

“There’s add-value potential from the outset for a new owner and the credentials are all here – location, great access, two street frontages, strong profile, good car parking and a key tenant with lease renewals through until 2017.”

Originally purpose-built in the 1970s for Avery Motors, the property was extended in the late 1990s on the northern side and now offers a total of 1423.15sq m of lettable space. 

Being on the corner of Oxford Terrace, the property has profile to two streets with triple roller door goods delivery access off Oxford Terrace.

LV Martins utilises the 797.30sq m ground floor as showroom, storage and administrative space while the first floor is subdivided into three office tenancies with the centre portion taken by Molesworths and the other the Lutheran Church leaving one tenancy available of 278.7sq m.

Next door, 81-83 Adelaide Road is billed as a trophy investment thanks to location, profile and the presence of key national tenant, Smith & Smith Glass who have been on this site for over 10 years.

The two, interconnecting light industrial workshop buildings constructed in the 1980s with quality offices and amenities (total 599sq m) have easy access off Adelaide Road and secondary access from Oxford Terrace. There are 15 car parks in the front sealed yard
with vehicle access to the workshop areas.

“The buildings are very versatile and could suit any number of uses in the future,” says Mr Hourigan.

Smith & Smith’s six year lease commenced in October 2006 and has a further six year right of renewal. The net rental is $114,628 per annum plus GST.

Neighbouring businesses include The Plumbing Store, Inhabit Design, After Hours Medical Centre, various automotive industry, storage and hire equipment operations.