Hamilton site is an investment to bank on

The modern commercial premises housing an iconic New Zealand bank, a world-leading milk testing business and a respected chiropractic clinic are up for sale in Hamilton’s Te Rapa.

The smart, architecturally designed warehouse-and-office building sits on key arterial Church Road, in the sought-after Pukete commercial precinct. Its trio of tenancies are home to Heartland Bank, MilkTestNZ and Blue Sky Chiropractic.

The leases generate a combined net rental income of $149,666 plus outgoings and GST per annum, in what Bayleys salespeople have tagged an investment new owners can bank on.

The freehold land and buildings at 87 Church Road, Pukete, Hamilton, are being marketed for sale by Luke ten Hove and Alex ten Hove of Bayleys Hamilton. The site will be sold by deadline private treaty, closing on Thursday 11th December, unless it is sold prior.

The high-profile corner property sits near the eastern fringe of North Hamilton’s Te Rapa business stronghold. It neighbours one of New Zealand’s largest retail and commercial centres, The Base, to the west and a large residential catchment to the east.

Luke ten Hove said the high-calibre tenants and favourable lease terms offered investors an excellent diversified income stream.

“Built-in CPI rental growth every two years, plus fixed rent reviews, delivers growth - and a strong hedge against inflation. For commercial property buyers seeking an attractive passive income, this is a quality hands-off investment you can bank on,” he said.

Alex ten Hove said the quality of the near-new building added to the property’s credentials.

“Built in 2019, the modern building comprises three separate warehouse and office units, each finished to a high standard, ensuring this is a low-maintenance asset - adding further to a new owner’s peace of mind,” he said.

The approximately 857 square metres of buildings are underpinned by some 2,206 square metres of commercial-zoned land, with on-site parking for 14 vehicles.

“The in-demand Te Rapa location supports significant potential for capital growth, in addition to the reliable diversified income. Investors can take particular confidence from the fact that this freehold property’s three separate warehouse and office tenancies are home to such well-respected, well-established tenants,” Alex ten Hove said.

Heartland Bank occupies its Church Road premises on a current lease that runs through to 2029 with a further three-year right of renewal.

The bank has roots stretching back to 1875 and a history of serving customers through respected names such as CBS Canterbury, Southern Cross Building Society, PGG Wrightson Finance and MARAC.

In 2024, Heartland acquired Australia’s Challenger Bank and renamed it Heartland Bank. Heartland is listed on the NZX and ASX. The group has more than 13,000 shareholders, over 600 staff, and in the year to June it posted a net profit after tax of $38.8 million.

MilkTestNZ is a world-leading milk testing laboratory, which uses advanced technology to test cow, goat, sheep, buffalo and deer milk. All of New Zealand's dairy farm supplier samples are tested at MilkTestNZ. A range of microbiology, composition, analytical and speciality tests are carried out in the company’s laboratory, a short distance from the property for sale, on Te Rapa Road.

Blue Sky Chiropractic has made a significant tenant investment in a quality fitout. Blue Sky is an ACC-accredited practice that helps people of all ages recover from pain, injury or illness with a combination of cutting-edge assessment technology and traditional approaches.

Alex ten Hove said the location of the site for sale combined accessibility and visibility.

“This is a strategic corner position with ready access to key roads facilitating movement across Hamilton and beyond,” he said.

Surrounding occupiers are a mix of light industrial, logistics and service businesses and trade retail outlets - with big-name neighbours including Carpet Mill, Repco and Supercheap Auto.