With 26 direct enquiries, the property was purchased by a local buyer 31 Horomatangi Street, Taupo
The Property • Single level 907sqm (gross) building constructed in 2016 and offering four tenancies • 1,014sqm (more or less) freehold site • 100% NBS • Anchored by Whitcoulls and Postie Plus, with one other tenant plus a vacant 82sqm unit • Current net rental $270,714.78 plus GST per annum • Four carparks • Town Centre Pedestrian Precinct zoning
Quick Look • National Total Property marketing campaign – by tender • Interest generated via Bayleys’ databases and Total Property magazine • 26 direct enquiries • SOLD for $5,550,000 at a 4.9 per cent yield • Purchased by a local buyer to add to an existing commercial portfolio
The Story Describing it as “one of the best buildings in the Taupo CBD”, Gary Harwood and Lisa Christensen of Bayleys Taupo knew that they’d receive plenty of enquiry on this standout commercial investment property.
“This is the sort of offering that any astute investor would be pleased to own as it ticks the location, seismic, quality and profile boxes confidently,” says Gary.
“Property in Taupo’s CBD is tightly-held and highly sought-after and being on the sunny side of Horomatangi Street with extensive frontage, and connection via pedestrianised Marama Arcade through to Heu Heu Street, gave this modern building the edge.”
Gary said enquiry was received from all around the country, as investors continue to hunt for decent yields and seek out good quality stock with strong tenant covenants.
“Ultimately, the property was purchased by a seasoned local investor who was rapt to add this premium asset to an established commercial property portfolio and we have happy vendors – a good result all around.”
Vendor Comment The spokesperson for the vendors said engaging Bayleys was an easy decision given a longstanding working relationship with the Taupo office.
The property was owned by a Family Trust and with the entity in the process of being wound up, the building was placed on the market for sale.
The Trust’s representative said he has previously engaged Bayleys Taupo to lease multiple commercial properties he manages, as well as for selling and buying his own residential properties over many years so was confident in appointing them as sole agents.
“I have always had great experiences in dealing with Bayleys Taupo and have known Gary Harwood for some years,” said the spokesperson.
“As Gary is the top commercial agent in Taupo, he was the logical choice.
“I found the process excellent, with Gary’s knowledge, experience and contacts ensuring that the process was smooth and stress-free.”
Saying the trustees were pleased with the outcome of the campaign, expectations were met.
“We were happy with the sale price achieved and this was in line with our expectations – particularly in these strange financial and political times where interest rates are rising.”