ING Property Trust sells retail property in Manukau and buys property in St Lukes, both Auckland transactions valued at the same price

Comments Off | 09-11-2010

The New Zealand Herald reported Friday that ING Property Trust disposed off its Manukau property and purchased property in St Lukes. According to the report, the two transactions were undertaken for the same cash consideration. Valued at $10.5 million, ING Property undertook the investment after selling its Manukau property for the same amount.

ING Property Trust is a New Zealand listed company and it reported an unconditional sale of 792 Great South Road in Manukau, using the funds accrued from the sale to acquire the storage King building at 7 Wagener Place in St Lukes. Both deals were thus done at the $10.5 million investment sum, said the firm.

ING Property Trust said the deals consolidated its retail assets, cutting down occupancy risk to its portfolio and enhancing overall quality of investments it holds, reported the New Zealand Herald. ING Property Trust purchased the retail property in Manukau four years ago. The Manukau property has always had vacancies and in its recent annual report, the firm listed it as the only retail site with vacancies.

ING Property Trust further reported that it attained a 6 per cent discount for the St Lukes property, situated next to two adjacent titles already owned and controlled by ING. ING Property Trust expects the acquisition to result in a yield of 8.56 per cent to 9.24 per cent, the New Zealand Herald said.

Peter Mence, ING Property Trust general manager, said that with regard to the firm’s portfolio, the investment will increase its value, yield and weighted average lease term, and additionally showcases the advantages of the firm’s management strategy. The firm has always kept a diversified and well balanced portfolio to enable it remain responsive in the market, said Mence. Wagener Storage had committed to a 10-year lease of the property.

ING (NZ) Limited (INGNZ) provides investment and insurance products sold through a number of independent distribution channels, including ANZ National Bank Limited.

Accelerated growth over the last five years has put INGNZ at the top of its industry as the largest manager of retail funds in New Zealand. INGNZ also holds a leading position in the life insurance and property markets. INGNZ currently has around 500 staff, with offices in Auckland, Wellington and Christchurch.

ING Property Trust was listed on the New Zealand Stock Exchange originally as Paramount Property Trust on 3 December 2002.

  • Facebook
  • LinkedIn
  • MySpace
  • Twitter
  • Yahoo! Buzz
Tags: , , , , , , , , , , , , , , , ,
Posted in Foreign Direct Investment/FDI New Zealand, General, Real Estate New Zealand |

Comments are closed.