Jewellery store is a gem of an opportunity for property investors
Friday 9 September 2011, 4:49PM
By Bayleys
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Two adjoining retail outlets located in the heart of Napier’s central business district are on the market for sale as one combined offering.
The two adjacent freehold unit title properties form part of what was formerly the city’s Central Hotel building, which has been subdivided into four ground floor shop premises.
The properties are strategically located at the intersection of Napier’s two main shopping streets in the city’s Art Deco Quarter, and have a total annual net rental of $65,307 plus GST.
The larger of the two properties measures 109.18 square metres, of which 22.29 square metres is mezzanine storage. It is currently tenanted by jewellery retail store the Jade Centre which has a five year lease, plus three five-year rights of renewal, taking the tenancy to 2031. The annual net rental is $45,400, while the body corporate levy is $12,092.
The property has a Capital Valuation of $640,000 dating from 2008, with rates of $6205 a year.
The second property measures 46.14 square metres including a kitchen area, and is tenanted by popular food outlet Jester’s Pies. Jester’s Pies has a month-to- month tenancy which is currently under review, with an annual rental of $19,907, and body corporate levy of $5680.
The site has a Capital Valuation of $275,000 dating from 2008, with rates of $3412 a year.
The property is being offered for sale through Bayleys, and is being marketed by Bayleys Napier salespeople Jonathan Claybourn and Bill Brown.
Mr Claybourn said the opportunity to purchase the two high-profile retail sites on Napier’s main shopping strip would make an enticing package for investors.
“These two sites could form the next jewel in the crown of an investment portfolio. Both of the retail units are ideally positioned on the corner of Emerson and Dalton Streets, providing them with maximum exposure to high volumes of passing cars and pedestrian traffic,” he said.
“The site is also surrounded by a number of strong national retailers - including Glassons, Hallensteins, OPSM, Specsavers, Pagani and Supré, and is supported by popular lunch bars and cafés.”