Introduction:
The vibrant city of Auckland, known for its bustling streets and diverse retail landscape, has recently witnessed a significant surge in the sale of retail businesses. This trend has caught the attention of industry experts and investors alike, sparking speculation about the underlying factors driving this surge. In this blog post, we will delve into the recent spate of retail business sales in the Auckland region, exploring the possible reasons behind this phenomenon and its potential implications for the local economy.

1. Economic Resilience:
Despite the challenges posed by the global pandemic, the Auckland region has showcased remarkable economic resilience. New Zealand's proactive response to the COVID-19 crisis, coupled with effective government policies, has resulted in a relatively stable business environment. This stability has instilled confidence in both buyers and sellers, leading to an increase in retail business transactions.

2. Changing Consumer Preferences:
The retail landscape in Auckland has undergone a significant transformation as consumer preferences have evolved. With the rise of e-commerce and the convenience of online shopping, traditional brick-and-mortar retailers have had to adapt to changing consumer behavior. This adaptation has led to a wave of strategic repositioning and business restructuring. As a result, some retail business owners have chosen to sell their businesses to investors who can inject fresh ideas and capital to propel them into the digital age.

3. Urban Development and Gentrification:
Auckland's urban development and gentrification have played a pivotal role in the recent surge of retail business sales. As certain areas of the city undergo revitalization and attract new residents and businesses, the demand for retail spaces has increased. Property developers and investors are capitalizing on this demand by acquiring existing retail businesses and leveraging the potential for higher returns on investment. Simultaneously, existing retail owners may opt to sell their businesses at a premium, taking advantage of the favorable market conditions.

4. Retirement and Lifestyle Choices:
Another significant factor contributing to the increase in retail business sales is the retirement or lifestyle choices of business owners. After years of hard work and dedication, many entrepreneurs reach a point where they decide to sell their businesses to enjoy their well-deserved retirement or pursue alternative endeavors. Auckland's vibrant lifestyle, breathtaking scenery, and favorable living conditions make it an attractive destination for both local and international buyers seeking to acquire existing retail businesses.

5. Increased Investor Interest:
The surge in retail business sales has not gone unnoticed by investors seeking new opportunities. Auckland's status as a global city with a thriving economy, combined with its reputation as a tourist hub, makes it an attractive investment destination. Local and international investors are actively looking for viable retail businesses to acquire, driven by the potential for long-term growth and profitability.

Conclusion:
The recent surge in retail business sales in the Auckland region reflects a combination of economic resilience, changing consumer preferences, urban development, retirement decisions, and increased investor interest. While these factors have created a favorable environment for retail business transactions, it is important to carefully analyze the potential implications for the local economy. As Auckland continues to evolve, the retail landscape will undergo further transformations, presenting exciting opportunities for both buyers and sellers in the dynamic and ever-changing business environment of this thriving city.
 

From the Desk of Madhu Dayal…..Commercial and Business sales and Marketing. Dayals Real Estate Limited(Licensed under REA 2008)
It is hard to believe we are more than halfway through the year.
With the vaccine rollout ramping up and the travel bubbles opening and hopefully stay open, there’s light at the end of the tunnel, or rather summer at the end of a plane trip just as the signs flowers of spring popping up.
We have already starting to see the effect of Covid 19, but the full impact will depend on a huge number of factors including the success of the vaccines, level of unemployment, consumer and business confidence levels, people’s ability to access finance (and finance their own mortgages) and how long the wider economy takes to recover.
New Zealanders are lucky so far with care full controlling of the virus, the government has set its foot to minimize the impact if not eliminate it.
​There are plans of opening the boarders with careful controls in place.
Comparing some of the neighboring countries and world wide we class our selves lucky and life has to go on.
Thinking of buying or selling, I am just a phone call away.(+64 212766223)
Happy Living Every One!

​Spring is here and we looking forward to warmer days ahead. The residential market is bubbling, properties are fetching higher than imagined possible prices.

And for business sales, we are for sure not seeing the same crazy hyped market as residential. Business sales did stall somewhat during the height of Covid lockdown but it is really pleasing to see our activity level in both buyer interest and new listings increase steadily. Buyers are confident and they are cautious at the same time.  Sellers are needing to consider what they will do in future when they sell, they may be at retirement age or they may see another exceptional business opportunity that they have the skills and experience to take on.

During the Covid times we have seen businesses revenue and profitability escalate, in some cases and in others dramatically reduce. Currently for us as business brokers we are therefore recommending that business owners provide us with updated revenue numbers from April 1 to 30 September and we also require the same period of performance, the year prior to compare. Basing an appraisal on only 2020 and the previous year’s accounts would be unsatisfactory in this current economic climate.

As always– we believe business ownership remains a very viable option for excellent return on investment. We provide obligation free appraisals for those looking to sell.
Please call us on 09 2156499 or
Email: [email protected]

Because of you and other local businesses, special needs children, children living with autism and their caregivers will enjoy a fun and memorable day out at our West Auckland Annual Special  Needs Children Bowling Party on Saturday, 15 June 2019 at Pins Lincoln Road, Henderson.
Additional funding also supports Autism New Zealand, a fantastic cause that empowers people living with autism and families in our communities. Thank you for making a difference.
Warmest regards,

Commercial property is the type or division of property that is used only for commercial purposes. These are the properties that are leased out to commercial entities and are not used as apartments or living spaces. These ranges from large gas stations, spacious buildings for offices, shopping centers, hotels and so much more. In this article, we shall look into what Commercial Real Estate is.

What exactly is Commercial Real Estate?

There are 3 main types of real estate: Residential, Industrial and Commercial. For the purpose of this article, we shall talk about Commercial Real Estate only. Residential Real Estate means properties that are used for the purpose of living, while Industrial Real Estate means properties that are engaged in the practice of production and manufacturing. When it comes to Commercial Real Estate, it means properties that are occupied by business and commercial entities that seek to earn profits from the buying and selling of goods and services. It can also refers to the practice of collecting rent from properties as a proprietor. The rent can be monthly, quarterly or yearly.
​




​







​


​Leases

If you are the proprietor of a property, then you lease out your property to tenants in return of money. For you it is a lease, while for them it is a rent. This is why the tenants say that they need to pay rent every month. Now, leases can continue for 1 year or 10 years, as decided by the property owner and as agreed by the tenants. If you have a large property in a central location, the lease period shall be longer while the sum of money to be paid each month shall be larger. Longer leases produce more security especially when it comes to credit tenants. Shorter leases offer a lot of flexibility to adjusting when it comes to paying of rent, and this is popular among the people naturally.

Now, there are 4 main types of commercial property leases. Each of these can be said to be a level, each of which means a different responsibility for the tenant and the proprietor.

1. The Single Net Lease- This variation makes the tenant legally responsible for the payment of property taxes.
2. The Double Net Lease or the NN- This makes the tenant legally responsible for the payment of insurance and property taxes.
3. The Triple Net Lease or the NNN- This is the type in which the tenant is legally responsible for the payment of insurance, property taxes and maintenance.
4. Gross Lease- Under this kind of lease, the tenant is only expected to pay the rent. The property owner himself pays for the rest. This is therefore the most basic kind of lease and is the most common, especially when it comes to small properties.

Thus, in this article you have seen what Commercial Real Estate is, what is a lease and of how many kinds of lease there are.