Fletcher Building has sold its massive headquarters complex at Penrose in Auckland for $80 million.
The complex, which sits on a 2.2 hectare site, was sold under a sale and leaseback arrangement by Peter Herdson and Andrew Reed of Colliers International.
Under the deal Fletcher will continue to lease the property for at least another 20 years.
Herdson and Reed traveled to Hong Kong, Shanghai, Beijing and Singapore to promote the property to investors but in the end it was sold to a local private investor.
It is believed that the lease would provide a net rental income of around $5.6 million, and according to Colliers the sale will provide the new owner with a net yield of about 7%.
The complex comprises four buildings that will be connected by a single level pavilion that's currently being built as part of an overall refurbishment of the property, which is due to be completed in the second half of next year.
Other commercial properties recently sold by Colliers include a landmark waterfront restaurant in Tauranga which went for $1.3 million, a vacant development site in the Westgate precinct which sold for $1.44 million and a Queenstown bar which sold for $530,000.
See below for the full list of Colliers recent sales:
- Lot 13, 99 Fred Taylor Drive, Westgate, West Auckland. A vacant 3220 square metre greenfield site. Sold for $1.44 million. The vendor was Neil Construction and it was purchased by Northbridge Properties. The agents were Sean Finnegan and Craig Newth.
- 900 Dartmoor Rd, Puketapu, near Taradale. A 487ha sheep and beef farm with a four bedroom house. Sold for $5 million. The agents were Hadley Brown and Mike Heard.
- 16 Dungarvon St, Wanaka. A 14 unit motel and manager's unit, with nine years left on the lease. Sold for $2.55 million, providing a 4.8% yield. The agents were Steve McIsaac, Barry Robertson and Dean Collins.
- 12 Church St, Queenstown. A bar which will be refurbished and reopened as The World Bar. Sold for $530,000. The agents were Barry Robertson and Steve McIsaac.
- 150 The Strand, Tauranga. A 570 square metre waterfront building operating as the Harbourside Restaurant and with two other tenants as well, on a combination of freehold land and seabed licence. Sold for $1.3 million, providing a yield of 11.08%. The agents were Simon Clark, Duncan Woodhouse and Grant White.
- Levels 1, 7 & 8, 71 Symonds St, Auckland. Three vacant floors in a modern office building, each floor with 143 square metres of functional office space and already partitioned, with views over the city and harbour. Sold for $1.08 million. The agents were Kris Ongley, Jonathan Lynch and Sam Gallaugher.
- Fletcher Building's headquarters, Penrose. A 2.2ha complex leased back to Fletcher Building for 20 years. Sold to a local private investor for $80 million, providing a yield of about 7%. The agents were Peter Herdson and Andrew Reed.
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