GMT
27/03/2015 09:42
GENERAL
PRICE SENSITIVE
REL: 0942 HRS Goodman Property Trust
GENERAL: GMT: GMT Viaduct Joint Venture Makes Strategic Acquisition
Goodman (NZ) Limited, the Manager of Goodman Property Trust ("Trust" or
"GMT"), has announced that Wynyard Precinct Holdings Limited has
conditionally agreed to acquire the new office building being developed for
Datacom in Auckland's Viaduct Quarter for $86.2 million.
Keith Smith, Chairman of Goodman (NZ) Limited said: "The viaduct joint
venture is delivering on its strategy, investing in high quality office
property in Auckland's fastest growing commercial precinct. It's another
positive acquisition for GMT, enhancing and diversifying the wider
portfolio."
Located on the corner of Gaunt and Daldy Streets, and adjoining the planned
linear park that will link Victoria Park to the Wynyard Quarter, the 16,735
sqm development will be purchased from Fletcher Building on completion in
March 2017.
John Dakin, Chief Executive Officer of Goodman (NZ) Limited said:
"Neighbouring our existing Viaduct assets and in an area of substantial
private and public development it's a compelling investment opportunity that
was facilitated through Goodman's relationship with Fletcher Building."
The office facility, which provides 15,328 sqm of commercial area, 1,407sqm
of retail space and 152 car parks, will offer the latest in high quality
business accommodation. Featuring large flexible floor plates and
incorporating sustainable architectural elements and energy efficient
building systems the property is designed to a five green star rating.
Datacom, an established and successful IT service provider, will consolidate
its Auckland operations into the new office facility. The privately owned
local business has committed to a 15 year lease across five floors of the new
building, representing around 80% of the total rentable area.
With the uncommitted space providing a further value-add opportunity the
acquisition is expected to provide a yield on cost of around 8.5% once fully
leased and income producing. The estimated value, once fully leased, is
forecast to be $90 million.
To facilitate the acquisition of the completed building by Wynyard Precinct
Holdings Limited, GMT has entered into a development funding arrangement with
Fletcher Building whereby GMT funds the construction of the building until
settlement.
There are no fees being paid to Goodman Group by the joint venture or GMT as
part of the purchase. However, Fletcher Building have separately engaged
Goodman Group to provide development management services on the project.
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:00262358 For:GMT Type:GENERAL Time:2015-03-27 09:42:12
