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- Release Date: 14/04/14 12:10
- Summary: ASSET: GMT: Customer Partnerships Driving New Development Demand
- Price Sensitive: No
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GMT
14/04/2014 10:10
ASSET
REL: 1010 HRS Goodman Property Trust
ASSET: GMT: Customer Partnerships Driving New Development Demand
Goodman (NZ) Limited, the Manager of Goodman Property Trust ("GMT" or
"Trust"), is pleased to announce three new design build projects, continuing
the strong momentum in its development programme.
The new facilities, which add 28,430 sqm of industrial space to the Trust's
investment portfolio, broaden its relationship with existing customers Steel
& Tube Holdings Limited and Ford New Zealand.
The three industrial developments, which have a combined total cost of $44.4
million (including land, construction costs and all professional fees), will
be funded through GMT's existing debt facilities and a continuation of its
asset disposal programme.
Goodman (NZ) Limited's Chief Executive Officer, John Dakin said "Steel & Tube
and Ford are the latest customers to extend their property requirements with
us and we are extremely pleased to be facilitating their business growth.
There has been a sustained lift in the level of development activity being
undertaken by the Trust over the last 18 months and we are accelerating our
development programme in both Auckland and Christchurch to meet demand."
The Trust has announced fifteen new developments since early 2013 (including
those announced today). These projects, which have a combined total cost in
excess of $165 million, are expected to provide a blended yield of 8.2% once
fully leased and income producing. It is value enhancing activity that is
forecast to deliver valuation gains of between 10% and 15% when completed.
The two new facilities being built for Steel & Tube at Savill Link in Otahuhu
and Highbrook Business Park in East Tamaki are due to complete in November
2014 and February 2015 respectively. Following the completion of these
projects, Steel & Tube will be GMT's eighth largest customer providing around
2.0% of annual rental income.
Ford has also committed to a new warehouse at Highbrook Business Park
relocating its parts warehouse from smaller premises at GMT's, M20 Business
Park in Wiri. The decision to relocate to a new 10,150 sqm warehouse, close
to its head office premises on Highbrook Drive, reinforces the park's
reputation as one of Auckland's premier business locations. The 10 year lease
is due to commence in April 2015 and features fixed review structures.
For further information please contact:
John Dakin
Chief Executive Officer
Goodman (NZ) Limited
(09) 375 6063
(021) 321 541
Andy Eakin
Chief Financial Officer
Goodman (NZ) Limited
(09) 375 6077
(021) 305 316
End CA:00249444 For:GMT Type:ASSET Time:2014-04-14 10:10:49
