Archive | Herne Bay

Low yields on city fringe properties

Bayleys agents have sold 2 properties in Freemans Bay & Herne Bay at yields below 3%, reflecting development potential, and another in Mt Eden below 5%, plus a refurbished & vacant Henderson accommodation facility.

Isthmus west

Freemans Bay

37 & 39 Spring St:
Features: 490m2 site in 2 titles, 2 neighbouring character villas fully leased to commercial tenants, both on final 3-year rights of renewal; mixed use zoning allows for development up to 4 storeys
Rent: $81,291/year net + gst
Outcome: sold for $3.6 million + gst at a 2.26% yield
Agents: Alan Haydock, Damien Bullick & Scott Kirk

Herne Bay

88 Jervois Rd:
Features: 652m2 site zoned mixed use, 315m2 refurbished 2-level villa, high stud character office space; fully leased to multiple tenants
Rent: $122,636/year net + gst
Outcome: sold for $4.2 million + gst at a 2.92% yield
Agents: Alan Haydock & Damien Bullick

Mt Eden

31 Rossmay Terrace:
Features: 1799m2 site zoned mixed use, 855m2 health & fitness centre, fully leased to tenant in occupation since 1999 with 10 years to run on current lease term plus 30-year right of renewal
Rent: $140,000/year net + gst
Outcome: sold for $2.9 million + gst at a 4.83% yield
Agents: Alan Haydock & Damien Bullick

North-west

Henderson

2 Tara Rd:  
Features: 802m2  site in quiet residential no-exit street, fully refurbished & upgraded 267m2 14-room accommodation facility (6 rooms with private ensuite, 8 single rooms), communal dining, living & laundry facilities; ready for occupation
Rent: $125,000/year net + gst estimated income after expenses & management
Outcome: sold vacant for $1,718,500 + gst
Agents: Damien Bullick & Alan Haydock

Attribution: Agency release.

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Resale of Spark City building among 4 central & western fringe deals

The first of the 4 Spark City buildings on Victoria St West to sell when they were built in 2014, has been sold again by syndicator Augusta Capital Ltd.

It’s one of 4 transactions reported today by Bayleys. The others are a commercial unit in Conrad Properties Ltd’s new Victoria Residences development across the road from the SkyCity casino, a redeveloped & reconfigured office building in Grey Lynn and an apartment development site in Herne Bay.

Augusta bought what was then Building C at Telecom Place for $65.18 million at a 7.25% yield. The price has risen by just under $12 million and the yield has firmed from 7.25% to 6.9%. The new buyer is a fund managed from Singapore.

The building sold on Pollen St, Grey Lynn, was previously occupied by a printing company and has been transformed by Tim Wilson, of Triumph Capital and let to a mix of creative & technology tenants.

The third new development to sell is a small commercial unit on the ground floor of Conrad’s Victoria Residences, bought on the site of the former Palace Hotel, where the Chow brothers had intended to develop a highrise brothel. The 124-year-old hotel building was demolished in 2010 after walls started to crack when the basement was being dug out for the Chows’ development.

CBD

Federal St

64 Federal St:
Features: new 16m² commercial unit on ground floor of the 25-level Victoria Residences, developed by Conrad Group Ltd opposite the Sky Tower; 6-year lease to Jango Food Ltd
Rent: $55,000/year net + gst
Outcome: sold for $950,000 at a 5.79% yield
Agent: Millie Liang

Victoria Quarter

Corner Victoria St West & Dock St:
Features: 7495m² office building, part of the 4-building Spark City, 10-year lease to Spark NZ Trading Ltd until June 2024 plus 2 6-year rights of renewal; 5-star office design & built Green Building certifications, 73 basement parking spaces, shares large central atrium with the 3 other buildings also developed in 2014 by Mansons TCLM Ltd as head office campus for Telecom (now Spark)
Rent: $5,316,009 net + gst with annual 3% rental increases
Outcome: sold for $77 million, at a 6.9% yield, to SCORE+, a pan-Asian fund managed by Singapore-based SC Capital Pte Ltd by Victoria Dock Nominees joint venture, a property syndication fund managed by Augusta Funds Management Ltd
Agents: David Bayley & Paul Hain

Isthmus west

Grey Lynn

20-22 Pollen St, Grey Lynn.

20-22 Pollen St:
Features: 1960m² site, frontage also to Mackelvie St, former premises of printing company Gravitas Media Ltd, completely redeveloped & reconfigured 3-level office building plus 94 internal parking spaces; just over 4000m² of net lettable space leased to mix of predominantly creative & technology tenants, mostly on 6-8 year leases, at $435-$495/m²; vendor rental underwrite on 2 tenancy spaces yet to be leased
Rent: $2,176,795/year net + gst
Outcome: sold by Triumph Capital (Tim Wilson) for $37,857,304 to Europe-based investor at a 5.75% yield
Agents: Chris Bayley & Lloyd Budd (Bayleys) with Tim McEnallay (Venncap Sydney) acting as a consultant to the buyer

Herne Bay

32 Shelly Beach Rd:
Features: 746m² site zoned terraced housing & apartment buildings, with concept plan by Paul Brown Architects for 9 apartments, including penthouse, resource consent application submitted to activate this; 5-bedroom villa provides holding income of $1200/week
Outcome: sold for $2.78 million
Agents: Scott Kirk & James Were

Earlier stories:
26 January 2015: Victoria Residences & St James Suites set new price points
23 January 2015: Almost-brothel site among 14 year-end sales
10 November 2014: 3 remaining Spark City buildings sold
3 October 2014: Augusta settles Telecom Place purchase, syndication nears completion
28 August 2014: K Rd building sells at 8%, Telecom Place building 3 at 7.25%
28 April 2014: Chow brothers put brothel site on market

Attribution: Agency release.

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Quiet times at 3 auction sessions – but one sale close to $15,000/m²

The generally quiet time in residential auctionrooms was emphasised in 3 sessions at Barfoot & Thompson’s city office on Wednesday & Thursday.

Those performances answer the question I’m asked most these days:

The everything question: What’s happening in the market? At auctions, bidders have become a rare species, which puts pressure on vendors. Even where there are bidders, there’s a common reluctance to offer anything near yesterday’s reserve.

Chinese buyers (local or visiting) have been notable for their absence for over a year, courtesy of restrictions in China and now here.

On Wednesday I watched a mate bid on the last property listed for the day. He & his wife were the only potential customers left in the room. After some nudging, they lifted their offer a little, but not enough to excite the auctioneer and nowhere near the vendor’s expectation.

A small unit well up the new Conrad tower on the corner of Albert & Swanson Sts, Park Residences, achieved a sale price close to $15,000/m² ($14,885), which is in the realm of pricing for new product in the central city.

The pricing of new product over the last 3 years or so had also lifted values for secondary stock, but I see secondary prices dropping back under $10,000/m² unless the apartment is distinctive, and below $8000/m² for older units.

On Thursday, the auction of the one property scheduled for Barfoot’s apartments & commercial morning session, a unit on Princes Wharf, was deferred a fortnight.

In the afternoon session, an Onehunga house was sold and the other 9 homes listed were passed in, 6 of them without a bid placed. The afternoon offering included a Remuera cross-lease, a Stonefields terrace and an Ascent penthouse on Nelson St (details of them below).

Wednesday afternoon was a more productive session for the auctioneer – 5 sales under the hammer, another sold shortly after and one sold prior out of 20 homes listed. From that session, you can check details below of 10 apartments, suburban units & cross-leases.

The properties are listed below geographically, not according to auction session.

Barfoot’s also issued its residential market calculations for April today. You can click through to that at the foot of this item.

The auctions:

CBD

Albert St

Park Residences, 35 Albert St, unit 1602:
Features: 35m², studio + study, 5m² balcony, in new Conrad development opened last month
Outgoings: body corp levy $2346/year
Outcome: sold for $521,000
Agents: Tom Jiang & Tim Lee

Federal St

The Federal, 18 Federal St, unit 2B:
Features: 51m², one-bedroom apartment, balcony
Outgoings: body corp levy $3274/year
Outcome: passed in at $418,000
Agents: John Zhang & Richard Tan

Uptown

Pembridge, 38 Symonds St, unit 16:
Features: one-bedroom apartment, parking space
Outgoings: body corp levy $3378/year
Outcome: passed in at $375,000
Agents: Jo Pickering

Victoria Quarter

Ascent, 149 Nelson St, unit 803:
Features: 2-storey penthouse, one bedroom, 2 balconies, parking space
Outgoings: body corp levy $3766/year; the unit’s $9647 defects levy last year hasn’t been paid in full; the buyer will not have to pay, and won’t benefit from any proceeds from, a $4000 litigation levy this year; a $41,300 levy has been forecast for this unit for stage 2 remediation works; a High Court claim has been lodged regarding construction defects but the vendor of this unit is not a party
Outcome: no bid
Agent: Stephen Chang

Waterfront

Princes Wharf, Shed 22, unit 1:
Features: leasehold, 63m², one bedroom on western side, balcony, parking space
Outgoings: ground rent increase capped at 3%/year or CPI, whichever is greater
Outcome: auction postponed to Thursday 17 May
Agents: Stephen Shin & David Lee

Isthmus east

Ellerslie

90F Ballarat St:
Features: cross-lease, 1/6 share in 2241m², 3-bedroom house, double internal-access garage
Outcome: passed in at $850,000
Agents: George Fong & Laura McAuley

Parnell

25 Cheshire St, unit B5:
Features: one-bedroom apartment, deck, parking space
Outcome: sold prior
Agents: Matt O’Brien & Cristina Casares

Remuera

123C Ngapuhi Rd:
Features: cross-lease, quarter share in 910m², 2-bedroom unit, courtyard, carport
Outcome: passed in at $780,000
Agent: Susan Palmer

Stonefields

136 Stonefields Avenue:
Features: 1/14 share in 964m² + 200m² fee simple, 2-storey 4-bedroom terrace, 2 bathrooms, double garage
Outcome: no bid
Agents: Wendy Sadd & Helen Lam

Isthmus west

Herne Bay

29 Hamilton Rd, unit 5:
Features: cross-lease, 1/8 share in 2086m², 2-bedroom unit, balcony, parking space
Outcome: sold for $1.3 million
Agents: Felicity Scott

Mt Albert

65 Woodward Rd, unit 1:
Features: 2-bedroom townhouse, courtyard, parking space
Outcome: withdrawn from auction
Agents: Jacqui Freeman & James Ju

Mt Eden

1A Taupata St, unit 4:
Features: cross-lease, quarter share in 1472m², 2-bedroom 1980s townhouse, courtyard, carport
Outcome: no bid, back on market at $1.195 million
Agents: Ketiesha Elliott & Frank Excell

Sandringham

30 Arabi St, unit 2:
Features: cross-lease, quarter share in 1936m², 2 bedrooms
Outcome: sold for $668,000
Agents: Bella Stefano & Sherry Shao

45 Fowlds Avenue, unit 3:
Features: 2-bedroom unit, garage
Outgoings: on strata title but no body corporate levy
Outcome: sold for $831,000
Agent: Dee Brennan

Related story today: Barfoots chief sees housing market lift approaching

Attribution: Auctions.

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Herne Bay & Ponsonby development sites sell

Bayleys agents have sold a retail unit off Sale St in central Auckland’s western fringe, a Herne Bay site with development potential under the new zoning and a Ponsonby site with consent for redevelopment.

CBD

Victoria Quarter

20 Centre St:
Features: 247m² corner ground-floor retail unit, 2 tenants, international homeware company Zimba Designs and Turkish eatery, both on 3-year leases with renewals
Rent: $100,000/year net + gst
Outcome: sold for $1.5 million at a 6.66% yield
Agents: James Chan, Oscar Kuang & Ben Wallace

Isthmus west

Herne Bay

185 Jervois Rd:
Features: 508m² site zoned terraced housing & apartment buildings, 142m² villa occupied by medical-related tenant
Rent: $75,000/year net + gst
Outcome: sold for $2.325 million at a 3.23% yield
Agents: Scott Kirk & James Were

Ponsonby

223 Ponsonby Rd:
Features: 569m² landholding with resource consent for a boutique mixed-use retail & apartment development; currently configured as 4 2-bedroom residential units
Rent: $131,040/year gross
Outcome: sold for $4.1 million at land value of $7205/m²
Agents: Alan Haydock & Damien Bullick

Attribution: Agency release.

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Herne Bay cross-lease sells, 2 apartments passed in

A Jervois Rd cross-lease in Herne Bay was sold at Bayleys’ auction yesterday, but a spacious Parklane apartment at the foot of Myers Park and an Aucklander studio were passed in.

CBD

Learning Quarter

The Aucklander, 25 Rutland St, unit 9E:
Features: studio, Juliet balcony
Outgoings: rates $1071/year including gst; body corp levy $3920/year
Outcome: passed in at $271,000, back on market at $299,000
Agents: Marcus Fava & Chris Reeves

Uptown

Parklane, 68 Greys Avenue, unit 2E:
Features: 2 bedrooms, 2 bathrooms, 4m stud height, parking space
Outgoings: body corp levy $9671/year
Outcome: passed in at $1.25 million
Agents: Diane Jackson & Julie Quinton

Isthmus west

Herne Bay

187 Jervois Rd, unit 3:
Features: cross-lease, 1/3 share in 543m², 2 bedrooms, 2 bathrooms, garage/studio + offstreet parking space
Outcome: sold for $1.225 million
Agent: Chris Batchelor

Attribution: Auction.

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Eden Terrace deal leads JLL metro year-end sales

JLL’s Auckland metro team ended 2017 with 6 sales on the east & west of the isthmus, in Eden Terrace, Grey Lynn, Herne Bay & Parnell.

They included the $6.8 million sale of a Porters Avenue property in Eden Terrace (pictured).

Isthmus east

Parnell

10 Augustus Terrace, units 2a & 2b:
Features: 2 office units totalling 246m², 8 parking spaces
Rent: $86,000/year net
Outcome: both sold in December for $1.53 million + gst at a 5.6% yield
Agent: Ben Jamieson

15 Bath St:
Features: 375m² mixed-use site, 539m² office building, 14 parking spaces
Rent: $225,000/year net
Outcome: sold in December for $4.2 million + gst at a 5.35% yield
Agent: Ben Jamieson

Isthmus west

Eden Terrace

1A Porters Avenue:
Features: 3371m² site zoned mixed use, 2760m² warehouse, workshop & office
Outcome: sold to an owner-occupier with vacant possession for $6.8 million
Agents: Jarred Hill, Alex Wefers & Nick Cape

Grey Lynn

41C Crummer Rd:
Features: 92m² office unit, 23m² deck, 2 secure parking spaces
Outcome: sold for $624,000, reflecting $6783/m² floor area
Agents: Alex Wefers & Tom Dobier

28 Monmouth St:
Features: 332m² vacant land in mixed-use zone
Outcome: sold to developer for residential purposes for $1.18 million + gst, reflecting $3554/m²
Agent: Alex Wefers

Herne Bay

204-208 Jervois Rd:
Features: 491m² multi-tenanted property, 832m² floor area, hospitality & office tenants
Rent: about $318,000/year net
Outcome: sold for $6.3 million + gst, reflecting a 5.0% yield
Agent: Alex Wefers

Attribution: Agency release.

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New Lynn corner property sells

A commercial property in New Lynn was sold under the hammer, a Parnell apartment was passed in and a Herne Bay property with rezoned potential was withdrawn from auction at Bayleys’ auctions around Auckland last week.

Apartments

Isthmus east

Parnell

6 Brighton Rd, unit 11:
Features: one-bedroom apartment, study nook
Outgoings: rates $1687/year including gst
Outcome: passed in
Agents: Chris Reeves & Fleur Denning

Commercial

Isthmus west

Herne Bay

185 Jervois Rd:
Features: 508m² site zoned terraced housing & apartment buildings, 154m² floor area,  medical-related tenant
Rent: $75,000/year net + gst
Outcome: withdrawn from auction
Agents: Scott Kirk & James Were

North-west

New Lynn

1 Crum Avenue:
Features: 607m² corner site zoned business light industry, 360m² building, 2 retail & industrial tenancies
Rent: $46,000/year from 2 tenancies
Outcome: sold for $1.305 million at a 3.5% yield
Agents: Mike Adams & Simon Davies

Attribution: Agency release.

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Herne Bay apartment sells

A Herne Bay apartment (outlined in picture) was sold at Bayleys’ city residential auction yesterday, and a Henderson cross-lease was passed in.

Isthmus west

Herne Bay

5 Curran St, unit 6:
Features: renovated one-bedroom top-floor apartment, parking space
Outgoings: body corp levy $3663/year
Outcome: sold for $825,000
Agent: Chris Batchelor

North-west

Henderson

63A Sturges Rd (flat 2):
Features: cross-lease, half share in 1031m², 3 bedrooms, garage + extra parking
Outcome: passed in at $635,000
Agent: Karina Thorburn

Attribution: Auction.

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2 of 6 apartments & units sell

A central city apartment in the Avoka (arrowed) and a suburban unit sold at Barfoot & Thompson auctions yesterday & today, out of 6 on offer.

7 of the 18 homes offered at the 2 Wednesday sessions were sold, including one of the 4 intensive homes (a duplex, a suburban unit & 2 apartments) in the afternoon.

At the Thursday afternoon session, a Mt Roskill brick-&-tile unit sold under the hammer while there was no bid for one in Sandringham.

2 of the 3 standalone houses in the auction were sold.

In the agency’s regular Thursday morning apartments auction, 3 were auctioned and all were passed in (see separate story link below).

CBD

Uptown

Avoka, 31 Day St, unit 10C:
Features: 81m², one-bedroom apartment, balcony, roof deck, covered parking space
Outcome: sold for $330,000
Agents: Jack Atherton & Sherryl Jones

Isthmus east

Royal Oak

14 Campbell Rd, unit 5:
Features: 2-bedroom unit, garage
Outcome: passed in, back on market at $779,000
Agent: Sylvia Lu

Isthmus west

Herne Bay

105 Jervois Rd, unit 3B:
Features: 185m² including balcony, 2-bedroom apartment, 2 bathrooms, study, double garage, storage locker
Outcome: passed in
Agents: George Damiris & Carl Madsen

Mt Roskill

1542 Dominion Rd Extension, unit 4:
Features: 2-bedroom unit, basement, double internal-access garage
Outcome: sold for $690,500
Agents: Kam & Yogesh Dahya

Sandringham

1 Begbie Place, unit 2:
Features: 2-bedroom unit, offstreet parking
Outcome: no bid
Agent: Paresh Patel

Three Kings

4 McCullough Avenue:
Features: 440m² section, 2-bedroom duplex unit + one-bedroom sleepout, bathroom in each unit, carport
Outcome: passed in, back on market at $859,000
Agent: Qi Li

Related story today: All 3 apartments passed in

Attribution: Auctions.

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3 of 13 apartments & units sell at auctions

3 of the 13 intensive residential properties – city centre apartments, suburban units & townhouses – auctioned at Barfoot & Thompson’s city branch at sessions on Wednesday & Thursday sold under the hammer.

Of the 36 residential properties, including standalone homes, auctioned over the 2 days, 17 sold at the auction.

CBD

Albert St

Stamford Residences, 26 Albert St, unit 1511:
Features: 127m², 2 bedrooms, 2 bathrooms, conservatory, parking space
Outgoings: body corp levy $8475/year
Outcome: passed in at $1.3 million
Agents: Stephen & Leo Shin

Learning Quarter

Waldorf Celestion, 19 Anzac Avenue, unit 502:
Features: 2 bedrooms, balcony
Outgoings: body corp levy $4410/year
Outcome: passed in at $440,000
Agent: Jason Buckwell

Victoria Quarter

Fiore, 152 Hobson St, unit 408:
Features: 40m², one-bedroom apartment
Outgoings: body corp levy $2907/year
Outcome: passed in at $250,000
Agents: Andre Volkov & Mike Ma

Isthmus east

Meadowbank

21 Houghton St, unit 1:
Features: 2-bedroom unit, patio, raised deck, garage
Outcome: sold for $660,000
Agent: Steve Hood

Onehunga

279A Onehunga Mall:
Features: 3-bedroom loft, 2 bathrooms, balcony, tandem parking
Outcome: sold for $720,000
Agents: Wendy Sadd & Ron Maman

151 Selwyn St, unit 7:
Features: 2-bedroom unit, carport
Outcome: sold for $775,000
Agent: Digna Clark

St Heliers

40 Devore St:
Features: 3-bedroom refurnished penthouse with internal lift, 2 bathrooms, 2 conservatories
Outcome: passed in
Agent: Karin Cooper

Isthmus west

Coxs Bay

Bayside Lofts, 571 Livingstone St:
Features: 2-bedroom loft, 2 bathrooms, 2 parking spaces
Outcome: passed in at $900,000
Agents: Carl & Roseanne Madsen

Grey Lynn

M-One, 250 Richmond Rd, unit 3N:
Features: 42m², one-bedroom apartment, patio, storage locker, secure covered parking space; remedial work planned
Outcome: passed in at $240,000
Agents: Sheryl Jones & Jack Atherton

Herne Bay

3 Hamilton Rd, unit 10:
Features: one-bedroom apartment, storage locker, secure parking space
Outcome: passed in at $770,000
Agent: Felicity Scott

Sandringham

43 Kingsway Avenue, unit 6:
Features: 3-bedroom unit, 2 bathrooms, garage
Outcome: passed in at $730,000
Agents: Yi Wei Lowndes & Tian Qiu

North-west

New Lynn

1 Briar Way, unit 19:
Features: 3-bedroom terrace, 2 bathrooms, internal-access garage, reclad & redecorated
Outcome: no bid
Agent: Isabella Li

43A Rata St:
Features: 135m² site, 3 bedrooms, 2 bathrooms, study, internal-access garage
Outcome: no bid
Agent: Michelle Zhang

Attribution: Auctions.

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