A tenanted industrial property in the heart of Christchurch’s premier industrial precinct is being offered to the market, as investor demand for quality, well-located assets with resilient profiles remains robust.

Bayleys Christchurch Commercial and Industrial Sales and Leasing broker Jeremy Speight is marketing the freehold property at 16 Vulcan Place for sale by deadline, closing at 4:00 pm, Thursday, 22nd May 2025 (unless sold prior).

The approximately 1,434sqm facility, comprising high-stud warehousing and integrated offices, is configured as a purpose-built electrical service workshop tailored to support complex operations.

Situated on a 2,894sqm (more or less) site, it is fully leased to ETEL Services, a specialised subsidiary of Unison Networks, one of New Zealand’s 27 electricity distribution companies.

Speight says industrial assets backed by national infrastructure-linked tenants offer rare investment appeal, prized for their long-term income security and strong portfolio credentials.

“A long-standing tenant, recently renewed lease, drive-through warehouse capability and a location at the core of Christchurch’s industrial landscape make this a standout passive investment opportunity with strong underlying fundamentals,” he says.

The property generates a net income of circa $214,000 per annum plus GST and outgoings. ETEL Services recently extended its lease for five years from September 2025 and a further right of renewal through to 2033.

Speight says ETEL’s lease renewal signals a strong recommitment to the facility, which originally formed part of global tech giant ABB’s network. This provider has long supported specialist operations within New Zealand’s electricity sector.

“ETEL’s occupation reflects the premises’ functionality and the site's strategic importance to their operations. From the landlord’s perspective, the recent lease renewal provides future income certainty, bolstered by a strong tenant covenant.”

The property features close to 1,000sqm of warehousing space, fitted to support specialist electrical servicing work, with multiple roller doors and drive-through access enhancing operational efficiency.

The balance of the floor area includes modern, north-facing offices and amenities with 28 on-site car parks.

Seismically strengthened to 100 percent of the New Building Standard, the asset is zoned Industrial Heavy under the Christchurch District Plan – allowing for intensive industrial operations and ensuring long-term locational stability for high-impact users.

“Middleton continues to attract strong occupier demand thanks to its connectivity to key arterial routes including the Southern Motorway, Curletts Road, and Blenheim Road,” says Speight.

“It sits just six kilometres from Christchurch’s CBD and is conveniently connected to neighbouring industrial areas including Addington, Sockburn and Wigram.”

Speight adds that despite broader market recalibration, quality industrial investments in prime locations remain sought after by both private and institutional investors.

“Nationwide, we are seeing increased selectivity in commercial markets. However, industrial assets with essential service tenants and strong lease structures continue to transact well. This offering reflects that sentiment and a compelling investment in Canterbury’s tightly held industrial heartland.

“The asset is presented with clear, long-term income, robust tenant credentials, and flexible building functionality, all underpinned by a strategic location in one of the country’s most resilient asset classes.”