Millennium Centre Latest Addition To Trust
Colonial First State Property General Manager Lloyd Cundy announced today the purchase of the Millennium Centre in Greenlane Auckland for just over $42.6m from Manson Developments Limited.
The acquisition increases the Colonial First State Property Trust's portfolio to 16 properties with a total value of $250m.
Mr Cundy said the Millennium Centre produces a net income of approximately $4.18m and he expects that the purchase will add $700,000 p.a. profit before tax to the Trust's financial position.
"The property is extremely well tenanted and provides long-term lease arrangements with ongoing opportunities for rental and capital growth."
Following the purchase the average weighted lease term for the Trust's portfolio increases from 3.8 years to 4.4 years.
The Millennium Centre is a recently completed high quality secure integrated office park development comprising three separate office buildings (average floor size 1300sm) and 880 secure car parks.
Mr Cundy said the Millennium Centre fits well with the Trust's strategy of investing in quality fringe CBD properties that provide large efficient floor plates.
Millennium Centre is located on Great South Rd, Greenlane, Auckland. Current tenants include AMP, Spotless, Humes, CM Research, Mighty River Power, Pharmaca Ltd, Sealord, Toyota Finance and Genesis Power.
The purchase will be debt funded with financing having been arranged through the ASB Bank
Colonial First State Property Trust owns eleven buildings in Auckland, three in Wellington and two in Christchurch. The portfolio is a diversified mix of commercial office, industrial and retail properties in a variety of CBD, fringe CBD, suburban and office park locations.