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The transaction is a ‘sale and lease back’ with a related company of the vendor taking a 12-year lease of the Property, which will commence on the settlement date of 5 August 2019. The tenant operates two businesses from the site, which ultimately have identical shareholdings, as follows:


Surplus Brokers was established in 2000 and was initially a direct import and auction business. In 2005, Surplus Brokers started online trading as Save Barn and now sells 5,000+ product lines across 20+ retail and trade product categories.

The business operates online (via own website and Trade Me) and has five physical stores in Whangarei, Auckland, Rotorua, Wellington and Christchurch). Approximately 70% of turnover is business to business, supplying the hospitality industry, hotels, clubs, rest homes, churches, schools and maraes.

The product range includes hospitality / kitchen equipment, tools, home and leisure, UK caravans, and RoadChief trailers (for further information visit:,


Corporate Rentals Limited was established in 1987 and initially supplied and serviced the dairy industry with the rental of commercial glass door chillers.

Customers include Kiwi Dairies, Mainland Beverages and Fonterra. The business grew to supply chillers to leading food and beverage manufacturers / distributors including South Pacific Brands, Davies Food and DKSH. Most recently, it expanded to supply commercial refrigeration and commercial hospitality equipment to supermarkets, hospitality, aged care, and other industries. Corporate Rentals is also a key supplier to many major food shows and sporting and entertainment events (for further information visit:



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Nine years of economic expansion has boosted employment which has, in turn, lifted demand for industrial workspace. The results are falling vacancy rates, upward pressure on rentals and a ramp-up in development. CBRE research provides the following market insights for the quarter ending December 2018:

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  • Indicative land values for Auckland’s industrial sector stand at $562 per sqm as at December 2018, increasing at an 11.6% annual average rate over the past five years.

  • Industrial vacancy sits at 1.1% at the end of last year. CBRE expect the industrial market to remain tight with vacancy hovering around 1.0% - 1.5% moving forward.

  • Annual rental growth amounted to 5.5% in the Prime and 5.0% in the Secondary grade, making the industrial sector easily the best performing asset class from a rental growth perspective in 2018.

  • Yields continued to firm, however the extent of this firming was less in the six months ending December 2018 (at 6 bps) compared to the previous six months ending June 2018 (at 19 bps).

In summary, the CBRE research points to the Auckland industrial sector significantly outperforming both the office and retail sectors for the 12 months ending December 2018. This trend mirrors global performance for total returns, with industrial being the stand-out sector. A copy of the full CBRE research entitled ‘Auckland MarketView Q4 2018’ is available from