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


GMT sells VXV office portfolio to focus on industrial

18 May 2018

Goodman (NZ) Limited, the Manager of Goodman Property Trust (“GMT”), is pleased to announce the sale of the VXV office portfolio to certain Blackstone funds for $635 million.

The VXV portfolio is owned by Wynyard Precinct Holdings Limited, a joint venture between GMT (51%) and GIC, the sovereign wealth fund of Singapore (49%). Both parties have agreed to the sale.

VXV is a high-quality commercial precinct adjoining Auckland’s vibrant Wynyard Quarter. It includes seven low-rise office buildings, providing around 88,000 sqm of space.

The gross sale price of $635 million reflects a passing yield of 6.6%.

John Dakin, Chief Executive Officer of Goodman (NZ) Limited said, “This is a defining transaction for our business as it completes a repositioning programme that has established GMT as the country’s leading provider of high-quality industrial space. Following this and other contracted sales, GMT’s $2.2 billion portfolio will be almost 100% invested in the Auckland industrial market.

“We have made tremendous progress with our development programme over the last five years with more than $670 million of new projects improving an already high-quality portfolio. The $1.2 billion of assets sales funding this development activity have also deleveraged the balance sheet. With an expected loan to value ratio of below 20% following this sale, we have substantial capacity for future development and investment opportunities.”

The transaction, which remains subject to Overseas Investment Office and freehold land owner approval, is expected to settle in late FY19 and will add around 2.5 cents to GMT’s proforma NTA. The settlement timing means the sale is not expected to have a material impact on earnings or distributions for FY19.


© Scoop Media

Business Headlines | Sci-Tech Headlines


NZTA Finds Failures: Urgent Review Of Compliance Files

Phil Twyford said NZTA was failing in its duty to properly check the companies that certify vehicles as safe for the road, and other services. “When problems with these companies were identified, there was often no follow up. More>>


Outages: Vector Settles With ComCom On Reliability Breaches

Vector has agreed a settlement with the Commerce Commission for breaches of its network quality standards in 2015 and 2016. More>>


Hop For A Better Tomorrow: Programme For Unique NZ Hops And Craft Beer

A new joint craft beer and hop breeding programme launched today aims to develop unique super-premium hops for exceptional craft brewers and uniquely New Zealand craft beer for top tier markets. More>>


Stats: Big Quarterly Lift In Retail Card Spending

Quarterly retail card spending in the September 2018 quarter rose at its fastest pace in seven and a half years, Stats NZ said today. The lift was widespread, led by increased grocery and liquor spending, as well as fuel. More>>


Crown Accounts: Government Books Show Surplus, Falling Net Debt

A strong surplus and falling net debt reflect a growing economy and show the Coalition Government is managing the books responsibly, Finance Minister Grant Robertson says. More>>