Hazeldean Park properties up for sale
Calder Stewart Industries is selling three buildings in its Hazeldean Business Park in Addington.
The property development company said it was selling the buildings in the park on bustling Lincoln Rd, Christchurch, as it eyed new investment opportunities.
Hazeldean is one of several established office parks around the city with others, including Show Place and Canterbury Technology Park, based around Sir William Pickering Drive in Burnside.
Christchurch International Airport, on the western side of the city, developed a temporary office park after the 2011 Canterbury earthquakes.
Addington has become a hub of offices and cafes since the quakes, with more office buildings being built.
Hazeldean comprises four office buildings, with consent for another two, the company said.
The first were completed in 2009, and the fourth building was completed last year with the buildings now fully tenanted.
Calder Stewart's joint managing director, Alan Stewart, said Hazeldean was inundated with inquiries for vacant space within hours of the February 2011 earthquake, and two days later it was fully tenanted.
"Businesses were contacting us on the afternoon of the earthquake desperate to find new premises. Those calls continued through to the next day and by February 24 the whole site was fully tenanted."
Stewart said demand from blue chip tenants for commercial property in the area had been consistent since 2011 and Calder Stewart intended to construct two more buildings on the Hazeldean site, beginning later this year.
Colliers International and CBRE (Agency) are jointly handling the sale of the three buildings on behalf of Calder Stewart.
With a net lettable area of 14,400 square metres, a popular on-site caf and a multi-storey carpark, Hazeldean was located about 200 metres from Hagley Park.
Colliers general manager Jonathan Lyttle said buyers not wanting the uncertainties associated with untenanted buildings would find Hazeldean a very attractive proposition.
There should be good demand, with a shortage of commercial properties in the city.
Also, some landlords stood to lose a revenue stream as business interruption or loss of rents insurance that had been provided for three years after the February 22, 2011 earthquake was about to run out.
"Loss of rents runs out for most people who had cover this March . . . so all of a sudden mortgages on land or income streams stop. People have to look to replace that," Lyttle said.
He would not be surprised to see groups of investors joining together or syndication groups ready to buy such properties.
CBRE managing director Mark Macauley said with a range of long-term leases across all of the buildings, which house national and international tenants, Hazeldean was an attractive proposition.
"Hazeldean also offers an excellent investment spread with a range in building valuations across the site."
The three buildings - at numbers 2, 4 and 12 - were being sold separately or collectively by deadline private treaty, which closed at 4pm on Thursday March 20.
The site provided more than 660 car parks, 500 of which were in a secure multi-storey car park building.
The park was zoned Business 3 and Business 3B under the Christchurch City District Plan.