24 Greenwich Street, Waihola, Otago 15 Year Lease on State Highway 1 Issue Colliers5 Portfolio Accelerating success. 2022Sep/OctMore on page 09
430 Ngongotaha Road, Rotorua Sold by Mark Rendell Recent Deals 11-13 A & B Marken Place, Wairau Valley, Auckland Sold by Matt Prentice and Janet Marshall164SOLDCourtenay Street, New Plymouth Sold by Benet Carroll SOLD 15 Church Street, Onehunga, Auckland Sold by Gawan Bakshi, Ned Gow and David Burley SOLD 18B Loop Road, Kelvin Heights, Otago Sold by BrendanWyndhamMariaandQuill SOLD 2 Taitimu Road, Tauriko, Bay of Plenty Sold by Emerson,RachelGrant White, Richard Davidson SOLD 101-155 Wahanga-a-Rangi Crescent, Ōwhata, Rotorua Sold by Mark Rendell1121SOLDDevon Road, New Plymouth Sold by Benet Carroll 805SOLDParadise Valley Road, Ngongotahā Valley, Rotorua Sold by Chris Meban SOLD SOLD PortfolioColliers2
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As we move into spring and summer, the commercial property market continues to gain momentum with premium offerings drawing strong interest among buyers.
Thank you for your continued interest in Colliers Portfolio and our team of experts looks forward to hearing from you.
While a backdrop of unrest exists with global geopolitical concerns and rising inflation, there are still significant opportunities in the market for savvy investors who have an eye to the future.
The outlook for the rest of the year remains positive and while some people may be thinking about their Christmas break, now is the time to secure your next strategic investment.
04PremiumContentsListings
Large-scale development site in sought-after Milford
11Papakura
Featured Brokers
Key Listings 09 Corner site sitting on two titles in
Top-quality industrial investment in Avondale
We continue to receive regular buyer enquiries across all asset classes and locations, with hotspots proving particularly active in New Zealand.
Colliers Portfolio Issue 5
Colliers shines at REINZ Awards
Gareth AucklandFraserDirector | Investment Sales
07
221814
New Zealand Research Report September 2022
There is a good volume of available stock, as evidenced by this edition, and with stock market volatility still apparent and global markets facing headwinds, commercial property remains a sought-after asset class.
Case Study | Evolution Healthcare
Our latest Portfolio features a vast array of premier purchasing opportunities with industrial properties, development sites, and warehouse and office assets from all corners of Auckland, alongside further offerings in Hawke’s Bay and Hamilton.
Returning $321,100 pa net, the lease offers annual CPI rent reviews, with market reviews every four years and is supported by a 6 month bank guarantee. With a new 18 year initial lease term, there are two further rights of renewal of 6 years each with a final lease expiry in 2052.
Net Return $321,100 pa + GST BrandTenantNational18 Year Lease + ROR’s
BuildingNewQuality
For sale by Deadline Private Treaty closing at 4pm Tue 11 October 2022 (unless sold prior)
Jimmy O’Brien 021 979 001
New Shoots occupy 17 sites around the North Island and are very well backed being part owned by Milford Asset as well as other highly reputable market experts.
302 Coatesville-Riverhead Highway, Coatesville, Auckland
Centrally positioned in one of New Zealand’s wealthiest suburbs is this premium grade investment featuring a brand new building and an 18 year lease to New Shoots who are one of the most respected and experienced tenants in the ECE sector.
Shoneet Chand 021 400 765
Matt Prentice 021 464 904 colliers.co.nz/p-NZL67020686
New Shoots Coatesville - 18 Year Lease!
BOUNDARY LINES INDICATIVE ONLY 1,968sqm Mixed Use Title
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Consented for 95 children, the brand new 598sqm building sits on a 1,968sqm Business Mixed Use freehold/fee simple title with excellent road frontage and easy access from Coatesville Riverhead Highway. This investment ticks all of the boxes and must be inspected.
BOUNDARY LINES INDICATIVE ONLY 2,081 FreeholdsqmTitleBrandBuildingNewExperienced Tenant15
17A Bell Road, Beachlands, Manukau
well positioned on a 2,081sqm freehold title which is set back from the road, providing easy vehicle access in an excellent Auckland location.
This investment features excellent fundamentals and will be sought after.
Ronal Prasad 021 232 1192
Shoneet Chand 021 400 765
Brand New - 15 Year Lease & Bank Guarantee!
For sale by Deadline Private Treaty closing at 4pm Tue 11 October 2022 (unless sold prior)
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Net Return $259,376 pa + GST Year Lease + ROR’s
positioned directly across from Beachlands School, this quality investment opportunity features experienced brand Just Kidz who have over 20 years experience in the industry. Bell Road will be their eighth centre in TheAuckland.centreis
Returning $259,376 pa, the purpose built facility is consented for 86 children and was developed by Signature Homes who are highly experienced in early childhood education being involved in constructing over 150 centres
Featuring a brand new building, 15 year initial lease term with further ROR’s, 12 month bank guarantee, as well as annual CPI and 5 yearly market rent reviews, this investment really is the complete package.
Strategicallynationally.
Matt Prentice 021 464 904 colliers.co.nz/p-NZL67020683
colliers.co.nz/p-nz67020090 $160,000Returningpanet+GST5,344m²
Matt Prentice 021 464 904
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ZoningUse Boundary Lines Indicative Only
Janet Marshall 021 684 775 Shoneet Chand 021 400 765 prime developmentopportunity titlesbeing offered as one Mixed
For Sale by Deadline Private Treaty closing Wednesday 12 October 2022 at 4pm (unless sold prior)
1 Forrest Hill & 4 Nile Roads, Milford, Auckland
Predominately
5,3442m² Prime Site Invest, Occupy or Develop!
QR
Perfectly positioned on the corners of Forrest Hill, Nile and Wairau Roads in Milford on Auckland’s North Shore is this rare high profile prime site of 5,344 sqm predominantly Mixed Use Zoned with unbeatable development potential. The site is currently leased to Kings Plant Barn offering holding income of $160,000 pa net + GST with next ROR April 2025 and a demolition clause being available to the successful purchaser - vacant possession possible from April 2024.
Held by a syndicate of owners for many years, this unique offering is now seriously for sale in one of Auckland’s most tightly held locations - call the Sole Agents now for further information. Code
Vacant possiblePossessionafterApril2024Two
Marshall says the residential zoning provides the potential for further intensification of the site.
colliers.co.nz/real-estate-news To continue reading and find out more, scan the QR Code
“There is a range of possible building heights depending on the context. Provisions typically enable heights up to four storeys. Greater height may be enabled in areas close to the city centre, metropolitan centres, and larger town centres.”
News
“The Business – Mixed Use Zone is typically located around centres and along corridors served by public transport,” Marshall says.
The site is located across from Westlake Girls’ High School and Smales Farm with favourable proximity to other key amenities such as North Shore Hospital, Takapuna and Milford beaches, Wairau Valley, and the Takapuna CBD.
Colliers Directors Janet Marshall, Shoneet Chand, and Matt Prentice have been exclusively appointed to market the property for sale by deadline private treaty closing at 4pm on Wednesday 12 October, unless sold prior.
Marshall, Director of Sales and Leasing at Colliers, says the Mixed Use zoning of the property will hold significant appeal for buyers given the options that will be available to them for the future use of the site.
1 Forrest Hill Road and 4 Nile Road is a 5,344sq m site that includes two titles but is being presented to the market as a single offering.
“The Residential – Mixed Housing Urban Zone is a reasonably high-intensity zone enabling a greater intensity of development than previously provided for.
“This supports increasing the capacity and choice of housing within neighbourhoods as well as promoting walkable neighbourhoods, fostering a sense of community and increasing the vitality of centres.”
The property is home to Kings Plant Barn who have a lease that runs until April 2025, providing $159,996 plus GST in annual rental income. A 12-month demolition clause is available to the successful purchaser making vacant possession possible from April 2024.
Chand, Director of Investment Sales at Colliers, says the holding income offers the new owner a steady rental stream.
“The zone provides for residential activity as well as predominantly smaller scale commercial activity that does not cumulatively affect the function, role, and amenity of centres. The zone does not specifically require a mix of uses on individual sites or within areas.
The majority of the site is zoned Business – Mixed Use Zone under the Auckland Unitary Plan, while the balance of the property is zoned Residential – Mixed Housing Urban Zone.
“Over time, the appearance of neighbourhoods within this zone will change, with development typically up to three storeys in a variety of sizes and forms, including detached dwellings, terrace housing and low-rise apartments.
A highly visible corner property in the tightly held North Shore suburb of Milford offers buyers the opportunity to purchase a prime site with holding income and extensive future development potential.
Large-scale development site in sought-after Milford
The Auckland CBD lies approximately 9km to the southeast and can be reached in 15 minutes outside of peak commuting hours. Motorway access is only 600m away from the subject site, while regular public transport options are available on Forrest Hill Road.
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The three coolstore buildings are configured into six substantial coolstores and are one of the largest stores of this type, allowing SmartFresh capability. They offer significant flexibility and clearspan, high stud industrial accommodation. The coolstores currently operate at 0.5°C on a modern glycol refrigeration system (installed in 2016).
Closing Thursday 20th October at 4pm (unless sold prior)
For Sale By Deadline Private Treaty
www.colliers.co.nz/p-NZL67020549
Long term 12.5 year lease $2.35m net rental pa + GST Strategiclocation
Land3.5345haArea: 2.75% annual fixed increases
lines are indicative only
Danny Blair +64 21 826 496
The asset is strategically located on over 3.5345ha (more or less) of land, positioned within close proximity to the Heretaunga Plains production area, 400 metres from State Highway 50 providing direct access to State Highways 2 and 5.
Sixcoolstoressubstantial
Boundary
An opportunity to secure a modern, state of the art coolstore facility ideally located in New Zealand’s premier pipfruit region of Hawke’s Bay.
Hawke’s Bay Coolstore Investment
This property is well suited to meet the increasing demand for modern, generic coolstore space within the Hawke’s Bay locality, a sector which is subject to strong demand and limited supply of alternative premises.
5 Hill Road, Twyford, Hastings
“A” Grade Albany Industrial Investment 6 Canaveral Drive, Albany, Auckland For Sale by Deadline Private Treaty closing Tue 11 October 2022 at 4pm (unless sold prior) Matt Prentice 021 464 021Shoneet904Chand400765 BOUNDARYcolliers.co.nz/p-nzl67020537LINESINDICATIVEONLY 6,427 Freeholdsqmtitle $512,000Returningpanet+GST Warehouse82%ratio potentialgrowthFuture Once in a Lifetime 474-476 New North Road, Kingsland Deadline Private Treaty, closing Wednesday 13th October (unless sold prior) Extremely rare opportunity to acquire a Kingsland town centre property Attractive 720m2 building in conditionexcellent Offered with vacant possession, allowing immediate access Jonathan Lynch 021 900 611 Ned Gow 021 122 2731 colliers.co.nz/p-NZL67020629 24 Greenwich Street, Waihola, Otago For Sale by Deadline Private Treaty closing 19 October 2022 at 4pm (unless sold prior) Dean Collins 027 499 0974 Sam Staite 021 738 245 colliers.co.nz/p-nzl67020703 15 Year Lease on State Highway 1 New 15 leaseyear Fixedgrowthrental2,150 cornersqmsite NPD operating 50 years + Annual net $150,000rental State Highway 1 profile site PortfolioColliers9
Matthew
563PortfolioColliers10
colliers.co.nz/p-nzl67020350 Rare Manukau Land Opportunity 18 Lakewood Court, Manukau For sale via Deadline Private Treaty closing at 4:00PM on Wednesday 20th October 2022 584m² site (more or less) BusinessMixedZoneUse Highlocationgrowth
Gibb 021 826 421 colliers.co.nz/p-nzl67020507 Z Tenanted Investment – Corner Site 2-4 Parker Street, Papakura For Sale by Deadline Private Treaty closing Wed 12 October 2022 (unless sold prior) freehold8,099m²site titlesTwo $365,000Returningnetp.a.+GST Paul Higgins 021 549 226 Josh Franklin 021 990 714 colliers.co.nz/p-NZL67020521 Refurbished + Lease to National Tenant 3/166 Great South Road, Manurewa Sold via Deadline Private Treaty closing 4:00pm on Thursday the 13th of October 2022 781m² across two floors $156,200Returningnet+GSTp.a. keyEstablishednationaltenant Ryan
Giant Investment 783-789 Heaphy Terrace, Hamilton For Sale by Deadline Private Treaty closing Thu 29 September at 12pm (unless sold prior) Nationaltenant suburbanIconiclocation Purpose built
021 826 421 Rijak Bakshi 021 31 31 81 colliers.co.nz/p-NZL67018095
David Palmer 021 272 98
Barnes 021 828 563
34
Justin Oliver 0275 654 837
Matthew Barnes 021 828
Ryan Gibb
Henderson Demolition is the current tenant, and they began a six-year lease term in May with one further right of renewal for three years leading to a final expiry of May
The2031.lease
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more, scan
of Industrial at Colliers, says the subject property offers a strong tenant covenant coupled with future development opportunities.
agreement returns $365,000 plus GST in net annual rental income and includes CPI and market rent reviews on alternating years.
News
The property has in-demand features and provides two seperate titles and multiple access points with a functional layout that includes a significant yard area.
“The low site coverage of only 23 per cent across both titles means there is future development potential, and the new owner may choose to develop the site in due course.”
Franklin, Director of Industrial at Colliers, says the highprofile site is strategically located in an area that has grown through ongoing infrastructure investment.
functionality are three points of access/driveways, which makes splitting the sites a viable possibility in the future.
The site is well served by nearby amenities and the Papakura township can be reached within minutes.
The Papakura industrial precinct continues to develop with new complexes recently being completed in the area, including five high-quality industrial buildings on 83 Boundary Road, and new buildings at 90 and 98 Hunua Road.
Corner site sitting on two titles in Papakura
A prominently positioned corner property with an established tenant in the sought-after Papakura industrial precinct offers buyers the opportunity to acquire an industrial investment with low site coverage and addvalue potential.
and
The highly visible property is perfectly positioned to benefit from the new developments and improved infrastructure nearby. State Highway 1 is only 3km away, providing access to Auckland’s CBD and the major industrial precincts to the north.
The warehouse at 2 Parker Street boasts excellent access while the site has dual driveways. 4 Parker Street is a functional-shaped site with good access and a small canopy and office area on the boundary of the property. Both sites offer extensive yard space.
The favourable proximity to staff catchments along with continued growth in nearby areas such as Drury and Pokeno has made Papakura a desirable location for
2-4 Parker Street in Papakura features 1,409sq m of total net lettable area on an 8,099sq m site, which is split across two freehold titles and sits on the corner of Hunua Road and Parker Street. The property is zoned Business –Light Industry Zone under the Auckland Unitary Plan.
Colliers Directors Paul Higgins and Josh Franklin have been exclusively appointed to market the property for sale and the deadline for offers closes at 4pm on Wednesday 12 October, unless sold prior.
The property includes 220m of total road frontage with 100m onto the area’s main arterial route Hunua Road and 120m to Parker Street. Adding to the appeal and
“Buyers will be able to enjoy the steady rental stream from an established tenant with a lease structure that caters to both CPI and market increases,” Higgins says.
Higgins,businesses.Director
colliers.co.nz/real-estate-news continue reading find out the QR Code
Hawke's premiercoolstoreAnCoolstoreBayInvestmentopportunitytosecureamodern,stateoftheartfacilityideallylocatedinNewZealand’spipfruitregionofHawke’sBay. Details on page 8 PortfolioColliers12
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“The property has a new roof and front facade, while there have been a range of high-quality upgrades made to the office space, which will enhance the usability and functionality for the occupants,” O’Brien says.
“Originally designed for two tenancies, the large-scale site also offers excellent road frontage.”
The Rosebank Peninsula is one of Auckland’s most sought-after industrial precincts given its favourable proximity to the CBD and Ports of Auckland. The nearby motorway interchanges provide convenient access to State Highway 16, while the Waterview Tunnel offers connectivity to South Auckland and the airport.
Top-quality industrial investment in Avondale News
The G3 Group operates three principal business divisions, including document management and data management, business mail operations, and mailhouse and mail fulfilment services. They have achieved considerable business growth during the past decade and have ambitious future plans.
colliers.co.nz/real-estate-news
A fully refurbished office and warehouse building in the tightly held Rosebank Peninsula industrial precinct in Avondale offers buyers the opportunity to acquire a prime passive investment with a strong tenant covenant.
14-18 Honan Place, Avondale offers 2,053sq m of total net lettable area on a regular-shaped 3,143sq m freehold site that is zoned Business – Light Industry Zone under the Auckland Unitary Plan.
Prentice, Director of Industrial Sales and Leasing at Colliers, says the property shapes as a high-quality purchasing opportunity, which is supported by a strong tenant covenant.
“The property provides a steady rental stream and the built-in rental growth through future annual increases and market rent reviews will be highly appealing for Thebuyers.”2,053sq
O’Brien, Director at Colliers Auckland North, says the building presents in magnificent order following the recent refurbishments.
Colliers Directors Matt Prentice, Jimmy O’Brien, Shoneet Chand, and Dhiru Patel have been exclusively appointed to market the property for sale by deadline private treaty closing at 4pm on Tuesday 11 October, unless sold prior.
“The existing tenant is a longstanding occupant that recently began a new long-term lease, which shows their commitment to this exceptional site,” Prentice says.
Their lease agreement provides $320,000 plus GST in net annual rental income and includes annual increases and three-yearly market rent reviews.
Chand, Director of Investment Sales at Colliers, says the lack of available land supply in West Auckland means industrial property is tightly held in this high-profile location.
The highly functional property has multiple offices, two separate warehouse spaces, a basement, and loading dock. There are also 30 on-site car parks and room for multiple containers.
m building consists of 534sq m of office facilities, 1,295sq m of warehouse area, and 112sq m of amenities space. There is also a small basement measuring 57sq m and a 55sq m loading dock.
To continue reading and find out more, scan the QR Code
The property is home to longstanding tenant, the G3 Group, who have recently committed to a new six-year lease with one further right of renewal for six years leading to a final expiry of 30 September 2034.
Dual Tenancy Freehold Investment 7 Airborne Road, Albany, Auckland For Sale by Deadline Private Treaty closing
For
4
Sale by Deadline Private Treaty closing
Refurbished Industrial Investment –New 6 Year Lease 14-18 Honan Place, Avondale, Auckland For Sale by Deadline Private Treaty closing Tue 11 October 2022 at 4pm (unless sold prior) Matt Prentice 021 464 021Shoneet904Chand400765 BOUNDARYcolliers.co.nz/p-nzl67020539LINESINDICATIVEONLY 3,144 Freeholdsqmtitle $320,000Returningpanet+GST 2,053buildingsqm + 30 carparks Lowlocationvacancy Jimmy O’Brien 021 979 001 Dhiru Patel 021 340 780 New Long-Term Government Leases 506 Eastbourne Street West, Hastings For Sale by Deadline Private Treaty closing 4pm, 18th October 2022 (unless sold prior). $542,946.82 net rental pa + GST 48 onsite car parks New redevelopmentextensive Jack Elliott 021 876 765 Danny Blair 021
Matt Prentice
496 colliers.co.nz/p-NZL67020706 PortfolioColliers15
4 October 2022 at 4pm (unless sold prior)
021
Matt Prentice 464 O’Brien 979 001 021 6779 826
904 Jimmy
2022 at 4pm (unless sold prior)
BOUNDARYcolliers.co.nz/p-nzl67020432LINESINDICATIVEONLY 5,865 Freeholdsqmtitle $672,661Returningpanet+GST 3,267 Warehousesqm / office Fixedgrowthrental Gareth Fraser
021
Tue October
021 464 021Shoneet904Chand400765 BOUNDARYcolliers.co.nz/p-nzl67020428LINESINDICATIVEONLY 1,603 Freeholdsqmtitle $239,720Returningpanet+GST 1,277 Warehousesqm / office Lowlocationvacancy Trophy Investment with Global Tenant 16-22 Omega Street, Albany, Auckland
Tue
242
Matthew
Tue 11 October 2022 at 4pm (unless sold
Jimmy O’Brien 021 979 001 to be held Wed 12 October 2022 at 11am sold
Brad Johnston 021 409 553 Barnes 021 828 563
colliers.co.nz/p-nzl67020649
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Brand New Industrial Investment –As good as it gets! 9 Inanga Street, Hobsonville, Auckland
Paul Jarvie 021 337 419
Matt Prentice 021 464 904
Z 1.505 ha site LightzoneIndustry Title Octoberest.2022
prior) Office warehouse727m² Own occupy plus rent $42,000paof 3tenanciesseparate
(unless
ARTIST’Scolliers.co.nz/p-nzl67020541IMPRESSION 6 Yeartermlease $548,560Returningpanet+GST Nov Completion2023 (KEAReputabledeveloperPropertyGroup) Josh Coburn 021 990 691 Unit K, 41-53 View Road, Wairau Valley Auction
For Sale by Deadline Private Treaty closing
For Sale by Deadline Private Treaty closing Wed 19 October 2022 at 4pm (unless sold prior).
Matt Prentice 021 464 904
Mike Ryan 021 402 461
prior)
colliers.co.nz/p-nz67020548 Industrial owner occupiers must inspect Multi Unit Opportunity - Buy One or Buy All! Unit 1, 2, 3 & 4, 33 Spartan Road, Takanini For Sale by Asking Price, enquire with the nominated brokers below. Split investmentrisk Four3,599m²totallingsites Dualaccessstreet Ash Vincent 021 448 201 colliers.co.nz/p-nzl67020673 Mitch Broderson 021 166 7225 Industrial Land For Sale Lot 17, Drury South, Drury
Buyer: NZ Healthcare Bidco
• Providing insights and identifying risk areas within the healthcare sector, including barriers to greenfield developments, rents, development returns, and the occupancy status of comparable assets
Strategic Advisory’s consulting focused on providing detailed insights for each healthcare asset that QIC could use to support its decision making. A key focus was highlighting any risks and opportunities associated with each asset. This included reviewing more than 100 complex documents in detail.
• Asset and lease due diligence for 10 properties in New Zealand and one in Australia. This included an in-depth review and summary of each lease, seismic assessments, and development agreements
The Solution
• Demographic profile and demand analysis for each asset within specific catchment areas using innovative technology such as QGIS
In 2021, Queensland Investment Corporation (QIC), a key owner of NZ Healthcare Bidco, appointed the Colliers Strategic Advisory team to complete real estate asset due diligence, to support the corporate acquisition of Evolution Healthcare. Evolution Healthcare is the secondlargest corporate hospital platform in New Zealand. The complexity of the project was such that QIC engaged with multiple external advisors. The project was also highly confidential and fast-paced.
The Strategic Advisory team used their expertise to produce a consulting report that incorporated various issues including:
The Result
Services provided: Real estate asset due diligence
News Alan NationalMcMahonDirector | Strategic Advisory +64 21 677 886 Renée Lintott Senior Analyst | Strategic Advisory +64 9 357 8637 Location Asset Type Transaction Date Size Value New Zealand and Australia Healthcare 23 May 2022 11 Private Hospitals $100m+
Seller: Evolution Healthcare
Using the advice produced by Strategic Advisory, NZ Healthcare Bidco successfully acquired Evolution Healthcare for more than $100 million. The Overseas Investment Office decision on the sale was finalised in May 2022. The Strategic Advisory team were pleased to help QIC achieve its goals, after a competitive process with multiple interested buyers.
The Strategy
Case Study | Evolution Healthcare
• Existing and future competitor supply analysis for each asset within specific catchment areas using innovative technology such as QGIS
The Challenge
Interested in finding out more about our Strategic Advisory services? We offer a comprehensive range of services to help clients make big real estate decisions.
“It is an amazing achievement for Colliers to have all four of the finalists in this category, which is something I have never seen before, and it’s a testament to the dedication our team members bring to their respective roles.”
Colliers Highbrook was named a finalist in the Medium Community Award for their outstanding fundraising effort last year to support Motor Neuron Disease that generated
award winners, Colliers was recognised in several other areas with team members and offices being finalists in various categories.
more than $215,000. This marked the single largest donation ever given to the Motor Neuron Disease New Zealand foundation.
Matthew Barnes, the Highbrook team includes 24 Brokers who are consistently among the top revenue earners across the Colliers network in New Zealand and during the past year they transacted more than 310 deals totalling $1.6 billion in value.
Colliers collected three major awards at the 2022 REINZ Awards for Excellence that were held in Auckland this week.
Colliers shines at REINZ Awards
News
While Goldfinch claimed the award, North Shorebased Directors Shoneet Chand and Matt Prentice were recognised alongside Sam Staite from Colliers Christchurch.
“We take great pride in receiving these awards and I am incredibly proud of our team members who continue to work collaboratively with our clients to ensure we remain trusted property advisors,” Synnott says.
“It’s a tremendous honour to receive this award and I am truly humbled by the recognition from REINZ,” Goldfinch says.
The Colliers Highbrook office in South Auckland was named Medium Commercial and Industrial Office of the Year, marking the ninth time the team has collected this honour in the past 10 years, while Colliers North Shore won the Small Commercial and Industrial Office of the Year award.
Led by Goldfinch and Director of Investment Sales
“It’s a privilege leading the team at Highbrook. They are incredibly hardworking and talented but most importantly they are quality people,” Goldfinch says.
But it was the Commercial and Industrial Salesperson of the Year award that was the most notable as Colliers dominated the category with all four finalists.
Established in 2008, the Colliers Highbrook office is home to some of New Zealand’s top industrial and investment sales and leasing professionals.
The Colliers Hawke’s Bay office was a finalist in the Small Commercial and Industrial Office of the Year award, while Colliers was also a finalist in the Large Commercial and Industrial Office of the Year category.
Mark Synnott, CEO of Colliers New Zealand, says these awards recognise the organisation’s continued commitment to delivering the best possible outcomes for their clients.
“I look forward to seeing what our team will achieve next and challenge them to continue to raise the bar higher each Alongsideyear.”the
For the fourth time in the past 10 years, Greg Goldfinch, National Director of Industrial at Colliers, was named the Commercial and Industrial Salesperson of the year, capping a fantastic run of market-leading results.
“We are thrilled to have received this award and are incredibly proud of the collaborative team culture we have in our office,” O’Brien says.
“Our clients always come first for us, and we thank REINZ for this award and look forward to the challenges the next year will bring.”
This year marked the fourth time in the past five years the team has been recognised as the best Small Commercial and Industrial Office in New Zealand.
Experts choose experts Greg Goldfinch Colliers North Shore Colliers Highbrook Commercial and Industrial Salesperson of the Year Small Commercial and Industrial Office of the Year Colliers Hawke’s Bay Finalist - Small Commercial and Industrial Office of the Year Shoneet Chand, Matt Prentice, Sam Staite Finalists - Commercial and Industrial Salesperson of the Year Colliers Auckland CBD Finalist - Large Commercial and Industrial Office of the Year Colliers Highbrook Finalist - Medium Community Award Finalists: Medium Commercial and Industrial Office of the Year Winners of 2022 REINZ Awards of Excellence
The 2022 REINZ Awards for Excellence, held at the Cordis in Auckland on Tuesday night, saw 41 awards handed out to different sectors of the real estate industry.
Colliers North Shore, based in Takapuna and led by Director Jimmy O’Brien, transacted nearly $1 billion worth of deals during an outstanding year of results.
Whilst a majority of COVID-19 enforced trading restrictions have now been lifted, the retail sector continues to face significant headwinds arising from economic pressures.
Auckland Retail Vacancy Rate
Retail markets navigating change
As at December 2019 vacancy stood at 1.4% but increased at each subsequent survey peaking at 14.4% in December 2021. The reduction in vacancy has been influenced, in part, by new entrants Auckland’s CBD market such as Van Cleef and Arpels which has opened on Customs Street and Pop Mart which has opened a store in Queen Street.
Centre 3.2% 3.1% 3.5% 2.50%
Despite significant headwinds, a stabilisation in vacancy rates, the return of key support fundamentals, following the reopening of the border, and the adaptability of building owners and retailers offer reasons for optimism within the country’s largest CBD retail markets.
Auckland Retail Vacancy Rate by Sector
CBD Strip 13.8% 14.4% 9.7% 1.40%
Wellington Retail Vacancy Rate
Source: Colliers Research
Vacancy Rates Stabilising
Looking at the wider Auckland regional retail markets, the latest survey results again paint a picture of stabilisation. Overall retail vacancy stood at 4.9% all but unchanged, from the 4.8% recorded in June 2021. Once again it was the strip retail sector that continued to experience the highest vacancy rate at 9.5% this figure though was up only 40 bps from that recorded in mid 2021. Shopping Centres have proven the most resilient of the retail sub markets with vacancy remaining low at 3.2%.
Source: Colliers Research
Current 6 Months 1 Year Pre-COVID
Current 6 Months 1 Year Pre-COVID
In Wellington, the CBD’s retail sector has proved more resilient than that of Auckland’s over the past two years Vacancy was recorded at 8.7% in June 2022 which compares with a pre pandemic figure of 4.1%. Vacancy increased over the opening half of 2022 influenced largely by the closure of the David Jones department store, a move which had been signalled well in advance. Reports of strong tenant interest in reconfigured space within the property points towards a short lived spike in vacancy.
Headwinds Persist but Key Support Measures in Place
Overall 4.9% 4.8% 5.0% 3.3%
Auckland v Wellington Retail Vacancy Rate
Strip 9.5% 9.4% 9.1% 5.30%
Inflation has surged to 7.3%, the highest recorded in 32 years. Interest rates have been raised aggressively and a fall in house values has eroded the wealth effect. Consequently, both the ability and willingness of consumers to spend has decreased. While these factors continue to act as a drag on the sector, support is evident and, in some cases, increasing following the reopening of New Zealand’s border.
Source: Colliers Research
New Zealand Research Report September 2022
Overall 8.7% 5.6% 6.8% 4.1%
Strip retail vacancy within Auckland’s CBD stood at 13.8% in June 2022 according to the results of the latest six monthly survey conducted by Colliers Research. While still substantially ahead of the rates prevalent prior to the onset of the COVID-19 pandemic, the June result marks the first decline in vacancy recorded since the country’s initial lockdown in early 2020.
Source: Colliers Research
Prime 11.9% 5.3% 6.7% 2.9%
PortfolioColliers20
Shopping centres are increasingly, incorporating, within the retail offering, a mix of entertainment areas including bowling alleys, laser tag zones and amusement arcade. While overall rental rates are generally lower than those paid by traditional retailers, they can activate quiet areas within the mall, increase footfall, attract family groups and extend the amount of time that people spend in the centre.
The reopening of the border will stimulate further support for CBD retail markets driven by the return of both overseas tourists and students. The Tourism Export Council, in March 2022, forecast arrivals for the year to May 2023 to be about 56 per cent of pre-Covid arrivals. It expects a return to pre-Covid levels of 3.9 million arrivals a year by May 2026.
Physical Stores Still Provide Advantages
Source: NZ Post, Colliers Research
Source: NZ Post, Colliers Research
Property owners and retailers are adapting to the changes in retail demand by reconfiguring property layouts and supplementing traditional retail offerings with a wider range of experiential options.
The trend towards greater provision of experience within stores has been building for the last few years with companies ranging from Nespresso to Lego opening experience rich stores. In 2020 a report released by Westfield Group forecast that more than half of retail space, within its European centres, will be devoted to experience rather than product by 2025.
Over recent months however, online spending growth has stalled with total spending in the second quarter of the year down 4% on the corresponding period last year. While online retail’s share of total spending continues to increase, growth has slowed as physical stores have reopened following the loosening trading restrictions.
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Key Reasons to Shop more In-store in 2022
Student numbers are also on the rise, having fallen to negligible levels over the last two years. While still well down on the 20,121 student arrivals recorded in July 2019, the latest figures from the Ministry of Business, Innovation and Employment (MBIE) show the number of people arriving in the country on student visas has risen for six consecutive months to 4,152 in July.
Adding Entertainment and Experience to the Mix
Security of employment is another positive factor for the retail sector. Unemployment has fallen to record low levels which has driven wage increases. Figures released by Stats NZ show median hourly earnings from wages and salaries rose by 6.8% in the year to June 2022. This was the largest annual percentage change since the series began in 1998.
How Shoppers Will Buy In 2022
The familiarity and acceptance of, online shopping increased significantly during COVID-19 enforced lockdowns exerting further pressure on bricks and mortar retailers. Figures compiled by NZ Post show that over the first half of 2022 Kiwis spent $3.64 billion online. This is 11% up on the same period in 2021 and a massive 81% up on the first half of 2019.
It is increasingly clear that the penetration of online retailing will continue to increase. However, for retail brands the physical store can be an important part of the mix with a high quality customer experience helping to drive business growth.
Further, consumers continue to see benefits in shopping in-store. When questioned by NZ Post, survey respondents cited a range of reasons for preferring the in-store experience including the immediate availability of product, experiencing the product in person and the social aspects of shopping.
Specialising in commercial and industrial property since 2006, Dean’s local knowledge gives him an exclusive insight to one of New Zealand’s most tightly-held property markets and allows him to advocate on behalf of local and national clients for commercial and industrial properties of any size.
Jonathan Lynch Associate Director | Investment Sales
Director | Hawke's Bay and Taupō
Director | Investment Sales North Shore
Senior expert in Commercial Property Sales and Leasing in central and city fringe Auckland. Jonathan has completed over $500 million+ sales transactions over the previous 9 years since joining in early 2010 with a focus on investment properties, mixed-use developments, redevelopment sites comprising under-utilised improvements, land sales and office, retail and warehouse leasing.
M: 021 122 2731 ned.gow@colliers.com
Danny Blair
Having worked in commercial real estate since 2006, Danny is a Director and shareholder of Colliers Hawke's Bay and Taupo. Danny has been involved in multiple transactions throughout the past decade, specialising in sales and leasing solutions for corporate tenants, government agencies, investors and developers alike.
Matt joined Colliers in 2006 & for the past 6 years has been a Director of the Industry Sales and Leasing team, with a focus on mid to upper end industrial sales and leasing transactions. He is considered a trusted source & wealth of knowledge to both vendors & purchasers, with over 15 years in the industry and hundreds of transactions completed.
Ned forms part of the Colliers Investment Sales team operating out of the Auckland CBD office. His expertise range from his early experience in the industrial sector and current involvement in the commercial market. Ned specialises on Auckland’s competitive fringe market where he’s sold over $100 million worth of property since starting in 2018.
M: 021 464 904 matt.prentice@colliers.com
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M: 027 499 0974 dean.collins@colliers.com
Director | Commercial Broker Dunedin
M: 021 900 611 jonathan.lynch@colliers.com
Director | Investment Sales North Shore
Matt Prentice
M: 021 826 danny.blair@colliers.com496
Broker | Investment Sales Auckland CBD
Dean Collins
Ned Gow
Shoneet has been involved in selling investment property for over 13 years and since 2015 he has been a Director in the Investment Sales Team at Colliers, specialising in Investment & Development Sales across the wider Auckland region.
M: 021 400 765 shoneet.chand@colliers.com
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Licensed REAA 2008 HSBC Tower, Level 23 188 Quay Street Auckland 1010 portfolio.colliers.co.nz This document has been prepared by Colliers New Zealand for advertising and general information only. Colliers New Zealand does not guarantee, warrant or represent that the information contained in this document is correct. September 2022