The Warehouse Group Ltd has entered into an unconditional contract to sell its property at 66-80 Broadway, Newmarket, for $65 million.
The company said yesterday – 2 days before a call for offers was due to close – it would continue to lease the site until October 2018, when it’s agreed to vacate. Settlement of the sale is expected to be completed in July.
The Warehouse said the sale proceeds would generate a pre-tax gain of about $12 million, which it will use to reduce debt.
The Warehouse bought the site opposite the Newmarket Olympic pool in 1993 and the 1.4ha, in 6 titles, is occupied by the Warehouse, Warehouse Stationery, Noel Leeming, Torpedo7 & some smaller retail tenants.
Under the Auckland unitary plan, the site is in the metropolitan centre zone and resource consent was granted in 2014 for a 47,914m² mix of residential, retail & office that would have incorporated 160 apartments, a 40-room hotel, 9615m² of office, 18,245m² of retail & 720 parking spaces.
Attribution: Company release.