Industrial workhorse with a bright future

A fully tenanted factory building in one of Napier’s preferred industrial precincts is for sale, at a time when investors are back in the Hawke’s Bay market scoping opportunities.

91 Niven Street, Onekawa, is a proven industrial site at the northern end of the key busy feeder road. The tenant has been on site since the 1980s and has been in business for more than 50 years. NTD Plastics, experts in injection moulding, toolmaking, and the production of high-quality plastic products, has a consolidated presence on the street and also leases two neighbouring buildings.

From humble beginnings in the 1970s, NTD became part of the NGH Group (Nautical Group Holdings) in 2021, supported by private equity firm Oriens Capital, with business integrated into a global network of marine and outdoor product brands.

Constructed in 1976 initially as eight separate industrial units, the 698sqm building for sale has concrete block walls to the front and rear and a concrete block wall down the spine of the building. In the 1980s, the building was adapted to suit NTD’s requirement for large injection moulding machines and gantries for cranes, with a circa-100sqm addition built and later, the installation of a portacabin onsite, which is included as a chattel in the sale.

There is dual access to the property, and onsite parking for staff and customers on both sides of the building and to the rear of the freehold 1,683sqm site, which is zoned Main Industrial.

The property returns net annual income of $112,000 plus GST on a new, three-year lease from June 2025, with two further three-year rights of renewal.

Grant Anderson and Matt Webb of Bayleys Hawke’s Bay are marketing the property for sale by negotiation.

With the Main Industrial zoning designation potentially allowing building up to 15m, Anderson says the property will have wide appeal for investors looking to the future.

“The property, as it stands, works extremely well for the occupier and is an important part of its overall business operation. The fitout is tailored to accommodate their needs, but equally, there’s an opportunity to add value down the line by upgrading the existing structures and access, or redevelopment of the site.

“Properties in Onekawa, and Niven Street in particular, are sought-after by astute industrial tenants looking for logistical advantages.”

Onekawa is close to Napier Port, and Napier Airport, and is handy to key arterial routes State Highway 2 and State Highway 50, making it ideally located for local, national and international distribution, logistics, and manufacturing businesses. Onekawa will benefit from upgrades to the Napier to Hastings Expressway, which forms part of State Highway 2 and is earmarked for four-laning improvements in the coming years.

Anderson says investor sentiment and enquiry are improving for Hawke’s Bay commercial and industrial property, helped by interest rate cuts and the strong regional economy.