There was a wide range of properties on offer at Bayleys' latest commercial property auction, with everything from small suburban shops to large industrial premises going under the hammer at the firm's head office auction rooms at Viaduct Harbour this week.
Competition for many of the properties was intense and several of them sold at prices that would achieve their new owner's net rental yields under 5%.
The yields ranged from 4.22% for an industrial warehouse/showroom in Manukau which was leased on a month-by- month basis to a motor parts business, to 7.05% for a childcare centre in Kaitaia.
Of the 24 properties scheduled to be auctioned, three were withdrawn from sale, one had its auction postponed, 11 were sold under the hammer and the remaining nine were passed in for sale by negotiation.
The least expensive sale of the day was a 139sqm industrial unit with two car parks in Wairau Valley that went for $370,000 while the most expensive sale was a large property with redevelopment potential in Mangere that went for $2,013,000.
You can check out the prices and details of the individual properties that sold and other recent commercial property sales on our Commercial Property Sales page.
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5 Comments
Indeed custard, the battles rage over residential property sales. Don't know if you saw my comment earlier about residential threads often getting over 100 comments yet commercial get none or great minds think alike?
Has interest.co.nz become totally hijacked?
Hijacked by social justice warriors? What about the children? Where's your empathy types? Or trolls and spruikers? Surely a commercial property spruiker would be great. Coming in and pushing the benefits of commercial, discussing individual sales, up and coming locations and so on.
Commercial property is a little dull. It seems risky to me as I imagine economic downturn would impact yields more than residential. This may be why yields are generally better than residential, reflecting a higher level of risk. Daycare centre in Kaitaia for example yields 7.05%. However the Auckland yields seem a bit rubbish at around 4%.
The lack of conversation here is because of the lack of trolling. A thread needs someone to come in and make a controversial statement, get someone's knickers in a twist. Trolls and spruikers are really under appreciated, they are at least passionate about what they do.
Yes – I did see your earlier comment – funnily enough after seeing this articles lack of comment.
I take your points and they are quite valid – “highjacked” was something of a quick throw away.
Anything regarding residential real estate sales etc seems to quickly attract 100+ comments – a large percentage of which are very much “rinse & repeat” – in among it all there are some gems, but it’s a battle wading through it all to find them.
I have been a viewer of this site for many years and don’t recall it having quite the troll aspect “back in the day”.
Hey Custard, The reason why no one takes much notice of the commercial property is that it's simply too high risk and especially in areas where the cost of living is more extreme.
You only have to take a stroll around a lot of Auckland suburbs to see a lot of empty shop and office blocks, some of which have been empty for years, even the new builds.
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