Goodman to spend $28m on three new developments
The additional space will add $2.2 million to annual rent and a further 11,140 square metres of lettable area.
Goodman Property Trust [NZX: GMT], New Zealand's largest listed property investor by market value, will spend $28 million on two new industrial plants and an office building at its Highbrook Business Park.
The additional space will add $2.2 million to annual rent and a further 11,140sq m of lettable area, the Auckland-based property investor said in a statement. The latest development brings the company's development spending to $112.1 million over the past 12 months.
"A positive business environment is supporting the rapid expansion of Highbrook Business Park," trust manager Goodman (NZ) chief executive John Dakin says. "With the award-winning estate 100% occupied, sustained customer demand is the catalyst for these new development initiatives."
Goodman has been selling non-core assets to fund development, having disposed of $150 million worth of property in the nine months through to September 30. It has also signed up for a joint venture with Singapore's sovereign wealth fund, GIC, to co-invest in its Auckland Viaduct Quarter development valued at $313 million.
Its shares fell 1.3% to $1.18 and have gained 4.8% since the start of the year. The stock is rated an average of 'hold' based on six analysts surveyed by Reuters, with a median price target of $1.10.
(BusinessDesk)
Suze Metherell
Tue, 03 Mar 2015
Tue, 03 Mar 2015
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Goodman to spend $28m on three new developments
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