Unit 2, 26 Glenda Drive, Queenstown - Information Memorandum

Unit 2, 26 Glenda Drive | Queenstown Information Memorandum For Sale by Auction 12pm Thursday 23 June 2022 at Colliers (unless sold prior)

Accelerating success.

Introduction Alastair Wood +64 27 436 2422 alastair.wood@colliers.com

Colliers as sole agents, have been appointed to market for sale Unit 2, 26 Glenda Drive, Queenstown.

This property is being offered For Sale by Auction, to be held on Thursday, 23 June 2022 at 12pm (unless sold prior).

For further information about the sales process please see page 20.

Auction to be held at: Colliers, Top Floor, 10 Athol Street, Queenstown This information Memorandum provides preliminary information to assist interested parties with their assessment of the property.

Further information is available via an online data room which can be accessed upon registration. www.colliersotago.co.nz/67019298

Data room documents available: • Information Memorandum • Certificates of Title and Interests • Outgoing Schedule • Lease Documentation • Land Information Memorandum • Auction documents

All enquiries, requests for information and arrangements to undertake inspections in relation to this opportunity are to be directed to the listing agent below.

James Valentine +64 21 777 772 james.valentine@colliers.com Mark Simpson +64 27 490 6394 mark.simpson@colliers.com

Contents Executive Summary

3

Investment Highlights

4

Location

7

The Property

10

Rental Breakdown

13

Queenstown Market

14

Certificate of Title

16

Auction Process

20

Due Diligence

21

2 / 26 GLENDA DRIVE QUEENSTOWN

Executive Summary ADDRESS

Unit 2, 26 Glenda Drive, Queenstown

DESCRIPTION

The property forms part of a 15 unit business park known as MSPACE with allocated car parking. The property benefits from excellent proximity to bulk retailers Mitre 10 and Pak n’ Save while the primary access is via Glenda Drive. The property on offer consists of a 2 level unit, with roller door access to the warehouse and amenities on the ground floor and a high spec office space at first floor level.

TENURE

Freehold

LEGAL DESCRIPTION

UNIT 2 AUS 1A 2A 37A DP 520415 - HAVING 1/8 SH IN AUS 5A 6A 7A DP 520415

CERTIFICATE OF TITLE

820720

AREA

162m² (more or less)

LOCAL AUTHORITY

Queenstown Lakes District Council (QLDC)

ZONING

Frankton Flats E1 Industrial Zone

RENT INCOME

$60,000 p.a. plus GST + Outgoings

TENANT

Active Electro Limited

RENT REVIEWS

3% annual increases with a market rent review or 3% increase on renewal (whichever is higher) on renewal

SALES PROCESS

For Sale by Auction at Colliers on 12pm, Thursday 23rd June 2022 (unless sold prior)

3

2 / 26 GLENDA DRIVE QUEENSTOWN

Investment Highlights

HIGH PROFILE AREA

MODERN PREMISES

Central Frankton location attractive for both owner/ operators or investors

A modern mixed use commercial premises

DUAL ACCESS

FIXED RENTAL GROWTH

Dual access from the warehouse area at the rear of property, or office at the front of property

Fixed 3% increasing annually, with market rent review on renewal (if exercised)

PASSIVE INVESTMENT

CARPARKING

Passive investment opportunity

Three allocated car parks and share of common car parking

4

LOCATION 26 Glenda Drive, affectionately known as ‘M Space’ is a high profile site situated adjacent to the Mega Mitre 10 and Pak n’ Save super stores with frontage to Glenda Drive.

Access to Glenda Dr is via a large roundabout off Hawthorne Drive that connects State Highway 6 with Remarkables Park Town Centre, Whakatipu High School and the Airport to the South, as well as 5 Mile/ Queenstown Central Shopping Centres some 500m to the West.

M Space’s geographically central location within the Whakatipu Basin also ensures it is easily accessible to Queenstown CBD, the key residential suburbs, Arrowtown and the Gibbston Valley.

location indicative only

Five Mile

Hawthorne Dr

Queenstown Intl Airport

2 / 26 GLENDA DRIVE QUEENSTOWN

State Highway 6

26 Glenda Dr

9

2 / 26 GLENDA DRIVE QUEENSTOWN

The Property The property forms part of a 15 unit business park affectionately known as MSPACE, with allocated car parking. It benefits from excellent proximity to bulk retailers Mitre10 and Pak n’ Save, while the primary access is via Glenda Drive.

On offer is a 2 level unit, with a workshop/warehouse and amenities on the ground floor and office space on the first floor with a separate access point. This site boasts excellent profile and frontage onto the trade hub of Queenstown, Glenda Drive. The three car parks (+ access to shared parks) is a rarity in Frankton, further enhancing the product offering.

General Construction The complex is built of reinforced concrete foundations, floor slab and concrete tilt-slab parapet walls, double glazed aluminium joinery window and shop fronts, steel roller shutter access doors and Hi -Five colour coated roof cladding over steel structure.

Layout and Fittings Units within the complex are finished in a variety of configurations, from double height space, mezzanine and two level properties split between workshop on ground floor and office on first floor.

Unit 2 has benefited from a high spec fitout, with an impressive office space above a practical workshop.

At ground floor level there is a separate entrance foyer leading to the first-floor stairway, bathroom facilities and open warehouse area.

The warehouse has an insulated ceiling, electric roller door and a service cupboard.

Interior walls are strapped, insulated and lined with paint and wallpaper finishes in the office spaces.

At first floor level there is a large well-lit open office, boardroom, kitchen, built in joinery and storage units.

The office has carpeted floors and a heat pumps as well as extensive downlighting.

Unit 2 enjoys 3 allocated car parking spaces immediately adjoining the tenancy, making it a convenient location for both staff and visiting customers.

10

2 / 26 GLENDA DRIVE QUEENSTOWN

Rental Breakdown Net Rental

$60,000 p.a. plus GST + Outgoings

Lease Term

3 Year initial term

Rights of Renewal

2 further rights of 3 years each

Rent Review

3% annual increases with a market rent review or 3% increase on renewal (whichever is higher) on renewal

13

Queenstown’s Industrial and Commercial Market Construction boom continuing to underpin business growth and confidence for occupiers of industrial and commercial property.

Critical shortage of land available for industrial development.

Currently industrial and commercial property has the lowest vacancy rate on record.

Shortage of industrial property for lease, and the high cost of construction of new buildings, resulting in rent increases.

Increases in land values expected to continue due to lack of supply in immediate area.

Viability of new commercial and industrial properties being challenged by increasing development costs.

Long term the ongoing population growth projections will result in a continued demand for commercial and industrial space that will put pressure on rentals to rise.

2 / 26 GLENDA DRIVE QUEENSTOWN

Certificate of Title

16

2 / 26 GLENDA DRIVE QUEENSTOWN

17

Auction Process Summary of important things to know •

Buyers should register their interest with the agent and ask to be informed if another buyer makes an offer before the auction date.

•

Auction bids are open so you know what everyone else is bidding. If you haven’t been to an auction before, it’s a good idea to attend one as a spectator so you can see how they work.

•

If you win an auction, you are committed to purchase the property. You must pay the purchase deposit on the auction day.

•

The auctioneer will not reveal the reserve price.

Please note: •

Auctions are unconditional, so you need to learn as much as you can about the property. Ask your lawyer or conveyancer to review and help you understand any information you get before the auction.

•

If you want to bid for a property at an auction, your first step is to let the agent selling the property know that you are interested. The agent will have legal documents for you and your lawyer or conveyancer to review and sign. These documents include the auction rules and the sale and purchase agreement.

•

Because auctions are unconditional, you need to confirm your finance before you attend the auction

•

If you want to change anything in the agreement or put any conditions on the sale, you need to arrange it before the auction by using a document called a variation – your agent will be able to provide this for you.

Registering your interest If you are interested in submitting an offer for the property, please formally register your interest with one of the Agents.

The Auction is to be held on Thursday, 23 June 2022 at 12pm (unless sold prior).

2 / 26 GLENDA DRIVE QUEENSTOWN

Due Diligence To assist in the assessment of this offering, comprehensive due diligence information is available via a secure documents link. For access to all documents you will be required to register in the dataroom.

•

Information Memorandum

•

Certificates of Title and Interests

•

Outgoing Schedule

•

Lease Documentation

•

Land Information Memorandum

•

Auction documents

•

Pre-Contract Disclosure documents

All enquiries, requests for information and arrangements for site inspections are to be directed to the Colliers sole agents:

James Valentine

Mark Simpson

+64 21 777 772 james.valentine@colliers.com

+64 27 490 6394 mark.simpson@colliers.com

21

Unit 2, 26 Glenda Drive Queenstown FOR SALE BY AUCTION 12pm, Thursday 23 June 2022 (unless sold prior) at Colliers, Top Floor, 10 Athol Street, Queenstown colliersotago.co.nz/67019298

James Valentine +64 021 777 772 james.valentine@colliers.com

Mark Simpson +64 27 490 6394 mark.simpson@colliers.com

DISCLAIMER: This Information Memorandum has been prepared solely for information purposes in order to assist interested parties in making an initial evaluation of the property and does not constitute advice nor purport to contain all of the information that a prospective purchaser may require. In all cases interested parties must conduct their own investigation and analysis of the property and the data set out in this Information Memorandum to satisfy themselves in all respects and not rely on the information in this Information Memorandum to make their purchasing decision. This Information Memorandum has been prepared in good faith and with due care by Colliers, but neither Colliers nor the Vendor accept responsibility hereunder for the accuracy of any part of the information contained in this Information Memorandum. Therefore the recipient/s of this Information Memorandum to the extent that they rely on the information contained herein do so entirely at their own risk. The Vendor and Colliers NZ Limited (and its brokers) expressly disclaim all liability for representations, express or implied, contained in, or for omissions from, this Information Memorandum or any other written or oral communication given to any prospective purchaser in the course of their evaluation and/or offer. This Information Memorandum does not constitute an offer for sale or purchase or otherwise.

Please be aware that Mortgagee Sales can present more risk to purchasers, we recommend you take advice from your lawyer in this respect.