Thorngate House Worcester Building with a fire next door – (SketchUp image of building – right)
Source a central office building with upside.Agree torepresent the client topurchase this 6-level building totalling 1118 square meters of lettable space for NZD 1.75 million with 3 floors vacant to attract a design and communications school which had specific fit-out requirements.
Location: The Ritchies Transport building 123 Worcester St, a couple of blocks from the Cathedral, Central Christchurch silhouetted in the distance. Travel & Design Centre
Type, Area:Retail& Office Refurbishment, 978 sq m. AEL purchased this 6-level building totalling 1118 square meters of lettable space for NZD 1.75 million with 3 floors vacant to attract a design and communications school which had specific fit-out requirements
Brief:Source a central office building with upside.Agree torepresent the client topurchase this 6-level building totalling 1118 square meters of lettable space for NZD 1.75 million with 3 floors vacant to attract a design and communications school which had specific fit-out requirements.
Developer Role:Completed Best Use Feasibility Analysis, Secured Pre-Leasing Commitment, Arranged Funding, Confirmed Purchase, Managed Approvals and Refurbishment Project, Marketing floors for lease,Finalised Leasing and Sales
Outcomes:delivered three refurbished floors to the client’s specifications, on-demand, for NZD 227,000 in exchange for their occupancy of the remaining vacant space.The Āhei team also completed the adjacent car parking building fitted with a turntable and car lift creating an additional 21 spaces while at the same time providing improved access for Intercity Buses who occupied the ground floor tenancy and as a result, we were able to sell the building for around NZD 2.3 Million six months
Transaction Value:$1,800,000 Capital Allocated, $4,235,000 Ford Baker Project Valuation Apr 2005 and $14,505,000 Total Developer Transactions (accounting for each of the main development functions performed i.e. Business Case/Funding $1,8mil, Project Management $4,2mil…).
Partners& Tenant(s):Ritche’s Transport, NZ Design Institute.
Notes: we were attracted to this building on behalf of the owners as the price was significantly less than the fully tenanted value and the cost to build new was significantly higher which meant that if we an upgrade increased appeal to tenants thereby increasing occupancy there was potentially significant upside. The building had been sitting vacant for years prior, this project helped to revitalise the city centre. later.The Ritchies Transport building 123 Worcester St during the earthquake; only the carpark remains.