CBRE New Zealand is proud to present the sale of 33 Bowen Street, Wellington.
33 Bowen Street offers an exceptional opportunity to acquire a premium grade investment in the heart of the Capitals Government precinct, underpinned by a weighted average lease term of approximately 12.5 years to the New Zealand Government and a net passing income of $4,337,121 per annum, plus GST. Properties offering these qualities rarely come to the market.
The building is an attractive 12-storey office building constructed in circa 1989 by Fletchers and occupies a site of approximately 1,703sqm. The building has a net lettable area of approximately 13,157sqm and has two basement car park levels, comprising 60 car spaces. Some of these spaces are currently occupied by the tenants end of trip facilities. 33 Bowen Street has been subject to a substantial refurbishment programme, completed in 2015 by Fletchers. The A-grade office space provides attractive high-stud accommodation with natural light from all sides and excellent views over the Tinakori hills. The building upgrade received an Award of Merit in 2016 in the PCNZ Property Industry Awards. Upon completion of the seismic upgrade the building was assessed as meeting 100% of the New Building Standard.
The property is underpinned by a 15-year lease (which commenced in December 2015) to New Zealand Government and is 100% occupied by Ministry of Education. The large floor plates of approximately 1,130sqm allow efficient utilisation and provide strong investment fundamentals, as Wellington has a limited number of buildings offering large floors in excess of 1,000sqm with a 100% NBS seismic rating. There is potential for a substantial rent review uplift in December 2018 as a result of low vacancies in the Premium and A-grade sector of less than 1%. As a consequence, rentals for this type of space are experiencing significant growth.
The property is located diagonally across from Parliament and is in close proximity to major Governme