Showroom will get investor interest revving

‘‘Petone is a popular hunting ground for investors and there have been few opportunities of this calibre in recent years,’’ Mark Hourigan, Bayleys Wellington Commercial.

A luxury vehicle showroom and office property for sale offers investors a quality passive investment in the suburb dubbed ‘‘the Ponsonby’’ of the Wellington region.

The fully tenanted showroom and office at 140 Hutt Road in the sought-after suburb of Petone in Lower Hutt, where significant development activity is underpinning values of property across all asset classes in the area, is anchored by O’Reilly’s Garage.

This successful independent luxury vehicle dealership specialises in both modern and classic automotive investments – a sector of the market booming on the back of pandemic conditions as people seek to reward themselves and fill the void left by cancelled overseas travel.

With its inventory including Mercedes-Benz, Porsche, Ferrari, and Bentley, O’Reilly’s Garage occupies the ground floor of the immaculately presented large high-stud converted warehouse, with two established office tenancies on the upper level.

Additionally, the on-site cafe Berlinetta which operates from a renovated shipping container to the front of the asphalted yard is a drawcard for clients, locals who live in the area and passing traffic.

Marketing agents Mark and Ethan Hourigan of Bayleys Wellington Commercial will take the property to auction at 11am on Thursday 9th December.

‘‘Petone is a popular hunting ground for investors and there have been few opportunities of this calibre in recent years,’’ said Mark Hourigan.

Zoned General Business, the 1160-sqm site in the north-western sector of Petone has a wide frontage to busy Hutt Road, the main route between Lower Hutt and Petone, and is just 12 kilometres from Wellington’s CBD.

The combined net income for the 1082-sqm building is $209,257 per annum plus GST, with

O’Reilly’s Garage on a new six-year lease with two three-year rights of renewal, and the two office businesses on varying lease terms – also with rights of renewal.

The circa-1980s warehouse building underwent a complete refurbishment in 2019, transforming the ground level into a high-end showroom with expansive bifold doors designed to showcase the eclectic and coveted vehicle range that the dealership has become known for, along with a fully-facilitated service department.

Above, two quality office tenancies are leased to marketing agency Scratch Design and facility and asset management company, Programmed.

An initial report from engineers Spencer Holmes puts the building at 90 per cent new building standard.

‘‘Investor interest has rocketed in Petone and the surge of development happening at the nearby former Imperial Tobacco site will only strengthen the value of properties like O’Reilly’s Garage going forward,’’ said Mark Hourigan.

Ethan Hourigan said that the suburb, with its destination boutique retail offerings, eclectic food and beverage outlets and quaint early settler architecture is undergoing a metamorphosis from its earlier manufacturing and processing roots.

‘‘This is a hotly contested part of town.’’