A-grade opportunity addressed to investors

A brand new industrial facility at 1303 Tomoana Road in Hastings is for sale, offering investors a premium asset underpinned by a long lease to state owned enterprise tenant New Zealand Post Limited.

Completed in July 2026, the impressive 4,271sqm steel and concrete building sits on an 8,288sqm freehold site and brings NZ Post’s Napier and Hastings courier and sorting operations into a single, modern processing and distribution centre for Hawke’s Bay.

The building has been designed to a contemporary industrial standard, with expansive column‑free warehousing, integrated mail sorting areas, modern office accommodation and a substantial breezeway. Drive‑through access is enabled by roller doors along both side walls, with stud heights rising from approximately 6.39 metres to 8 metres. Twenty five on‑site car parks are provided, including ten within a secured compound.

NZ Post’s new 12‑year lease commenced on 10 July 2026 and includes four further rights of renewal of four years each, with a final expiry in 2054 if all renewals are exercised. The initial rental is $750,000 per annum and the lease includes annual CPI rent reviews and scheduled market reviews, which supports future rental growth and reinforces the asset’s investment credentials.

The property is for sale by deadline private treaty closing 4pm, Wednesday 9 September unless sold prior through Mike Houlker and Samara Philips of Bayleys Auckland, and Rollo Vavasour, Bayleys Hawke’s Bay.

Mike Houlker says the property represents the type of long‑lease asset that continues to attract strong national investor demand.

“Institutional‑grade industrial buildings with long leases to major occupiers remain among the most sought‑after investment opportunities in New Zealand,” he says.

“Investors are actively pursuing assets with scale, modern construction and reliable income profiles, and this facility delivers all of those attributes.

“With this brand new building just completed, there are potentially significant taxation benefits to be unlocked under the government’s ‘Investment Boost’ tax incentive. This applies to new commercial buildings and can considerably accelerate depreciation and improve cash returns, with prospective purchasers advised to seek independent guidance around this.”

The purchaser will further benefit from new build warranties, along with the low maintenance costs and peace of mind that comes with buying new.

Houlker says the NZ Post covenant strength is a defining feature.

“A brand new building leased to a tenant that has the New Zealand government as 100 percent shareholder, on a 12‑year term with rights of renewal through to 2054 is exceptionally compelling. It provides income durability and long‑term confidence, which appears to be exactly what investors are seeking in the current market.”

The Tomoana industrial precinct has undergone significant growth over the past decade, supported by strong regional logistics activity and efficient connectivity. The site offers direct access to the Hawke’s Bay Expressway, linking Hastings, Napier, Havelock North, Napier Port and Hawke’s Bay Airport.

Bayleys Hawke’s Bay director Rollo Vavasour says the region’s industrial market continues to demonstrate resilience and depth.

“Hawke’s Bay has shown sustained strength across industrial investment, driven by logistics, food production, the wider primary sector, and regional growth,” he says.

“Quality assets in strategic locations are sought-after by local and national investors with demand consistently exceeding supply, so the Tomoana Road property stands out within that context.

“This is a flagship industrial building with a nationally-recognised occupier and a long lease. Opportunities of this calibre in Hawke’s Bay are few and far between.”