Overwhelming support for GMT’s new business initiatives
Overwhelming support for GMT’s new business
The Annual Meeting of Goodman Property Trust was held today at Highbrook Business Park.
The meeting reviewed the Trust’s recent annual result, considered its current strategy and voted overwhelmingly in support of new business initiatives.
Keith Smith, Chairman of Goodman (NZ) Limited, the Manager of the Trust said, “It has been a very positive 12 months for GMT with a growing economy and rising business confidence contributing to a record profit result of $146.8 million before tax.
To ensure that the future investment performance of the Trust is maximised, we have refined our strategy and enhanced the management and governance structures of the Trust.”
Unitholders voted 99.79% in support of a new management fee structure.
Keith Smith said, “GMT has one of the most efficient and cost effective management structures of any listed property entity. The changes that were endorsed today reduce the quantum of fees paid by GMT while enhancing its operational and financial performance.”
The benefits to Unitholders are expected to include a lower management expense ratio, an improved earnings profile, a reduced development land weighting and even greater alignment between between Goodman Group and other investors.
Keith Smith said, “The changes to the fee structure and other new business initiatives are positive enhancements that will improve the investment performance of the Trust.”
A more active capital management strategy was also announced with asset sales being used to fund future development activity.
John Dakin, Chief Executive Officer of the Manager said, “Accelerating GMT’s development programme and realising the value in its strategic land holdings remains a key focus. Asset recycling will help fund the $100 million plus of projects that we are expecting to secure this year.”
John Dakin, concluded, “There is a growing momentum in our business at present and the benefits earlier investment decisions mean the Trust is extremely well placed to capitalise on rising customer demand.”