Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Precinct Properties portfolio value increases on Auckland

Precinct Properties portfolio value increases on Auckland buildings

By Suze Metherell

July. 9 (BusinessDesk) - Precinct Properties New Zealand, the country's third-biggest listed property investor by market value, expects to recognise a 5.5 percent gain in its portfolio's value as Auckland real estate prices continue to climb.

A revaluation gain in its property portfolio of some $47 million is expected in the year ended June 30, boosting its portfolio to $1.73 billion, from $1.64 billion the previous year, the Auckland-based landlord said in a statement. Auckland valuations have climbed 5.9 percent while Wellington has slipped 1.4 percent.

"The Auckland increases were mainly attributable to an increase in market rents, leasing success and increased positive sentiment due to a continued firming investment market," Precinct said in a statement. "The main contributors to the Wellington decreases were the uncertainty associated with the government's future accommodation plans and a softening of gross market rentals, which was partly offset by insurance cost savings."

Auckland's rising valuations haven't translated into increased rents, and the company said its portfolio weighted average, by income, capitalisation rate fell to 7.3 percent from 7.5 percent.

The company will report full-year earnings to the market on Aug. 13. In February it said net profit rose 67 percent to $39.5 million in the six months ended Dec. 31, as net property income in Auckland surged almost 19 percent to $18.2 million in the first half, while income from Wellington properties edged up just 0.4 percent to $25.2 million.

Precinct shares rose 0.9 percent to $1.085 and have advanced 9.6 percent this year, outperforming the NZX 50 Index's 8.3 percent gain. The stock is rated an average of 'hold' according to six analysts survey by Reuters, with a median price target of $1.05.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Keep Digging: Seabed Ironsands Miner TransTasman Tries Again

The first company to attempt to gain a resource consent to mine ironsands from the ocean floor in New Zealand's Exclusive Economic Zone has lodged a new application containing fresh scientific and other evidence it hopes will persuade regulators after their initial application was turned down in 2014. More>>

Wool Pulled: Duvets Sold As ‘Premium Alpaca’ Mostly Sheep’s Wool

Rotorua business Budge Collection Limited (Budge) and sole director, Sun Dong Kim, were convicted and fined a total of $71,250 in Auckland District Court after each pleading guilty to four charges of misrepresenting how much alpaca fibre was in their duvets. More>>

Reserve Bank: Labour Calls For Monetary Policy To Expand Goals

Labour's comments follow a speech today by RBNZ governor Graeme Wheeler in which Wheeler sought to answer critics who variously say he should stop lowering interest rates, lower them faster, or that inflation-targeting should no longer be the primary goal of the central bank's activities. More>>

ALSO:

BSA Extension And Sunday Morning Ads: Digital Convergence Bill Captures Online Content

Broadcasting Minister Amy Adams has today announced the Government’s plans to update the Broadcasting Act to better reflect today’s converged market... The Government considered four areas as part of its review into content regulation: classification requirements, advertising restrictions, election programming and contestable funding. More>>

ALSO:

March 2017: Commerce Commission Delays Decision On Fairfax-NZME

The Commerce Commission has delayed its decision on the proposed merger between NZME and Fairfax Media's New Zealand assets, saying the deal is complex and it needs more time to assess the impact on both news content and the advertising market. More>>

ALSO:

Plan Plan: Permanent Independent Hearings Panel Proposed For Planning

The Productivity Commission recommends creating a permanent independent hearings panel like the one that cut through local politics to settle Auckland’s Unitary Plan, for the whole country. More>>

ALSO:

Statistics: NZ Jobless Rate Falls To 5.1% Under New Methodology

New Zealand's unemployment rate fell more than expected in the second quarter as Statistics New Zealand adopted a new way of measuring the labour market to bring the country in line with international practices, and while a growing economy continued to support jobs growth. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news