Published 12 March 2010
Bayleys Real Estate sold 10 out of 30 NZRPG Management Ltd (Retail Property Group – Mark Gunton & Bryce Donne) retail outlets offered at auction on Wednesday. Another 3 were withdrawn from the auction schedule.
Yields were strong on the sales – one just under 6% and the highest 7.55% – but there was a noticeable tailing off after the initial handful were dealt with.
NZRPG put 48 outlets at its Westgate centre, at the top of the North-western Motorway, and Fraser Cove in Tauranga on the market as it faced mounting development bills for its newer projects. They include Tauriko Crossing in Tauranga and a major proposal to cross the highway above Westgate to create the 156ha Massey North town centre.
Apart from the auction, a number of properties were put out to tender. Auction details below show the properties grouped under Westgate & Fraser Cove headings and listed in lot number order:
Animates, lot 5, net rent $178,597, passed in
Golden Moments/Noodle Canteen, lot 8, net rent $47,775, withdrawn from auction
Miss Q’s Bar/Origins, lot 10, net rent $290,320, passed in at $3.35 million
Pizza Hut, lot 11, net rent $160,000, sold prior for $915,559 at 6.8%
TAB, lot 12, net rent $86,112, sold prior for $1,266,353 at 6.8%
ASB Bank, lot 14, net rent $181,680 on a short lease, passed in
Westgate Food Court/Kebab Junction, lot 15, net rent $190,000, withdrawn from auction
Starbucks, lot 17, net rent $55,495, sold for $910,000 at 6.1% yield
Dick Smith Electronics, lot 18, net rent $146,372, passed in at $1.7 million
Toyworld, lot 20, net rent $126,477, no bid
No 1 Shoe Warehouse, lot 21, net rent $208,397, passed in at $2.2 million
Ballentynes, lot 23, units 1-5, net rent $126,609, passed in
Rodney Wayne/Decor Focus/First Mobile, lot 26, unit 2, net rent $197,168, passed in
Michael Hill/Telecom, lot 26, unit 3, net rent $143,469, sold for $1.9 million at 7.55%
Jesters Pies, lot 30, net rent $37,182, passed in at $450,000