Cornerstone Petone asset with inherent upside

A substantial commercial investment property on one of the Wellington region’s most tightly held retail strips is for sale, giving investors access to a diversified income-producing asset with immediate upside.

The property at 232 to 242 Jackson Street in Petone features longstanding tenants and a broad mix of occupiers that naturally spreads risk, positioning it to attract strong interest from investors seeking resilient returns and future growth potential.

Occupying a prominent 1,978sqm corner site with prime visibility, the modern commercial building has a total floor area of 1,878sqm and was seismically upgraded to 80 percent NBS in 2016.

With part of the building two-level and part single-level, the layout delivers flexible retail and office accommodation that supports diverse tenant requirements. The four fully self-contained ground floor retail tenancies benefit from a wide frontage to Jackson Street, maximising exposure and foot traffic. Additional ground floor office tenancies and six first floor office suites are accessed via a main stairwell and a secondary staircase from the rear car park. The Bay Street frontage contains two service office/retail units accessed from the car park.

The offices are regarded as some of the better quality available on Jackson Street, offering excellent natural light, suspended ceilings, good lighting and contemporary finishes. Generous on-site parking for 24 vehicles enhances the property’s appeal, providing a significant advantage in a precinct where parking is increasingly scarce.

Circa 184sqm is vacant, with the property currently returning annual net income of $368,745 plus GST, and potential net income of $440,629 plus GST across 13 tenancies once the remaining vacancies are leased. Tenants include Unichem Petone Pharmacy, Top Cafe, Petone Frameworks, Animal Protection Society, Red Hot Business Coaching and Kevin Smith Law, supported by a variety of lease end dates that stagger expiry risk. Several tenancies also incorporate built-in rent increases, strengthening the property’s long-term income profile.

The property sits within the Petone Commercial Area 1 zone, otherwise known as the Heritage Precinct, bounded by Victoria and Cuba Streets. The zoning supports a mix of commercial uses and carries a height limit of 10 metres.

The property is for sale by tender closing Wednesday 29 July, through Paul Cudby and Mark Sherlock of Bayleys Wellington Commercial.

Cudby says the property offers dependable performance and strong investor appeal, with Jackson Street’s scale, diversity and steady evolution providing a solid foundation for long-term confidence. He notes that the income profile can be strengthened further, with more than $70,000 in additional revenue able to be unlocked through leasing the vacant space.

“This precinct is a proven retail and commercial environment. Vacancy is exceptionally low, tenant demand is steady, and assets of this size and profile rarely become available,” he says.

“Investors understand the strength of Petone as a location. It offers accessibility, strong foot traffic, and a mix of occupiers that creates a resilient trading environment. The combination of structural integrity, diversified income and a prominent corner position make this a compelling long-term investment.

“For investors seeking reliability and growth, this property deserves serious consideration.”

Jackson Street has evolved into a vibrant destination retail environment, known for boutique operators, hospitality venues and independent stores. The precinct continues to strengthen as one of Wellington’s fastest‑growing mixed‑use locations, supported by apartment developments and major destination retailers including PAK’nSAVE, Countdown, Bunnings, The Warehouse, Mitre 10 Mega, Kathmandu, Kmart and Briscoes.

“Its popularity is further reinforced by excellent transport links, ease of access and plentiful parking, all of which contribute to sustained tenant demand,” says Cudby.