Grey Lynn property with zoning potential

A fully leased Grey Lynn commercial property close to Ponsonby Road with long-term income, a prime position, and future development potential on its side, is an opportunity for astute investors to consolidate a presence in the popular inner-city suburb.

14-16 Maidstone Street, Grey Lynn is a modern freehold standalone investment property with circa-1,792sqm net lettable area, plus 300sqm of balconies, on an 895sqm site. There are three floors of office accommodation with extensive glazing allowing excellent natural light and expansive views east and west, plus two basement levels providing 37 secure car parks.

It is occupied by a diverse mix of tenants, including creatives Flux Animation Studio, government agency New Zealand Film Commission, Focus Recruitment, and procurement specialist N3 Limited, delivering net annual passing income of $880,412 plus GST, if any.

Contractual rent reviews across the tenancy schedule ensure stable and growing income, while the diversified tenant mix reduces exposure to any single industry and enhances income stability.

The building was constructed in the early 1980s and has undergone significant upgrades to meet modern standards, enhancing both the aesthetic appeal and functional performance of the building. It has an assessed seismic rating of 100 percent new building standard and offers high-quality office space that appeals to professional and creative tenants.

Zoned Business – Mixed Use which allows for both business and residential activities, there is currently a generous 27m height variation control over the site which, in itself, provides compelling future redevelopment options.

The property is also in-line for further intensive upzoning if Auckland Council’s proposed Plan Change 120 is adopted. This plan represents a significant shift in the city’s approach to urban growth and intensification, and focuses on targeted development around key centres and transport corridors, with increased building heights near rapid transit hubs.

Under the draft provisions, 14–16 Maidstone Street may be eligible for uplift to a 50-metre height limit which would significantly enhance the site’s future development capacity, aligning with Council’s strategy to concentrate growth in well-connected, high-demand urban areas like Grey Lynn. Plan Change 120 is currently going through a public consultation process, and interested parties should undertake due diligence through Council channels to clarify potential opportunity.

James Were and Cameron Melhuish of the Bayleys Auckland Metro team are taking the property through a deadline private treaty campaign closing 4pm, Wednesday 3rd December, unless sold prior.

The Maidstone Street property is sited in a tightly held pocket of Grey Lynn just metres from Ponsonby Road, a Woolworths supermarket, and the Vinegar Lane mixed-use development, with Were saying it’s a popular location for very good reason.

“The connectivity factor is right up there with Ponsonby Road a main arterial route that links up with other strategic roading and public transport networks.

“Once completed, the Karanga-a-Hape City Rail Link station will be accessible from Beresford Square as well as Mercury Lane, and the Beresford platform will be around a 15-minute walk from Maidstone via Hopetoun Street.

“The dedicated carparking on offer at the subject property is also an increasingly rare and valuable resource in Auckland’s city-fringe market and definitely enhances tenant attraction and retention.”

The high level of retail, hospitality, service and community amenity in the broader Grey Lynn-Ponsonby catchment acts as a drawcard, too, says Were.

“It’s a pretty self-contained wider neighbourhood, as evidenced by the success of the progressive Vinegar Lane development which has further strengthened the pull of this area on affluent professionals and successful businesses alike.”