Refurbished Eden Terrace character properties

"Both properties will be untenanted next year," says Cam Paterson of Barfoot & Thompson Commercial who, with colleague Rex Fowler, is marketing 35 & 37 Virginia Avenue East for sale by tender closing at 2pm on Tuesday, August 29. 

"They respectively occupy freehold titles totalling 997sq m and feature a central city fringe location with a Business Mixed-Use zoning and an 18m height restriction under the part operative Auckland Unitary Plan," Paterson says.

"They are an ideal buy for an owner occupier, investor or a developer with an eye to their future potential while generating a current total combined holding income of $143,640," he says. 

35 Virginia Ave

“The building at 35 Virginia Ave is the award-winner and comprises a single level studio and office designed by one of the country's most highly regarded architects. Previously a warehouse, this building has been extended & extensively refurbished into a New York style character property with open truss ceiling, lots of natural light and a private courtyard.”

The entire 320.6sqm building and four car parks on a 372sq m site are leased to luxury women's clothing designer Euphoria Design Limited paying annual rent of $71,000 plus GST on a three-year lease due for renewal on June 1, 2018. 

"The tenant pays all the out-goings and has one right of renewal for two years but has given written notice of an intention not to renew their lease," Paterson says.

The one level building was constructed in the 1960s of concrete foundations, floors and block pillars supporting RSJ Truss styled beams and timber purlins. The floors are now covered with carpet and cork tile. Joinery is aluminium and the building has a galvanised steel roof. 

The building has stud height of 3.92m at sides rising to 5.06m at the apex. 

The fit-out currently consisting of three large studio or showroom spaces subdivided by plasterboard lined walls with connecting large double doors. Two meeting rooms or offices with skylights are at the rear of the property which also encompasses a quality kitchen, two toilets – one having a porcelain vanity unit with large wall mirror above and the other having a shower cubicle.

A mezzanine floor suitable for storage is accessed by steep steel stairs and has a stud height varying between 0.8m and 1.5m at the outside walls rising to approximately 2.1m at the apex. 

Outside a courtyard area is brick finished and there are two separate entrances, one being in the centre at the front of the property through double doors and the other the original office entrance featuring stand-out curved wall finish.

37 Virginia Ave

Next door at 37 Virginia Ave, the 625sq m corner northwest facing freehold site is also occupied by a 194.6sq m single level character studio and office building. Previously a warehouse it retains many of its original character features and earns total rent of $72,640 per annum.

The entire building, with five of 15 car onsite parks, is leased to Fergus Software Limited, a software company for job management, until February 14 next year. Fergus software, which pays annual rent of $49,240 plus all outgoing except 20 per cent of the rates, has two rights of renewal for two years but has also given written notice not to renew.

The other 10 car parks are leased to OCS NZ Limited for annual rent of $23,400sq m until May 31, 2018. 

Flooded with natural light, the building’s current fit-out constitutes two larger open plan areas and a couple of meeting rooms or breakout spaces. A central passage leads to the rear where kitchen and toilet facilities are located.

Fowler says this property, with a stud height of 3.2m at either side rising to 3.98m at the apex, lends itself to a live and work arrangement. 

"Of concrete foundations and concrete block walls supporting steel beams and timber purlins with galvanised steel roofing, it is enhanced by an open truss ceiling, polished wooden floorboards and character windows," he says. 

Fowler says that due to the recent zoning allowances, the central Eden Terrace area has become a highly sought-after location, only 2km south of Auckland CBD and only 220m from the Basque Rd Reserve.