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‘Challenging year’ as Oyster syndicate breaches covenants

Falling property values, rising interest costs, and rental vacancies create problems for proportionate ownership schemes.

Oyster breached LTV and interest cover covenants at the March balance date for Fujitsu building, 141 The Terrace, Wellington.

Tim Hunter Mon, 22 Jul 2024

Property syndicator Oyster has reported to investors on an “extremely challenging” year, including a breach of bank covenants and a failed sale deal on a Wellington office property.

Financial statements for Oyster syndicates showed several running close to covenant limits as property values

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Tim Hunter Mon, 22 Jul 2024
Contact the Writer: thunter@nbr.co.nz
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‘Challenging year’ as Oyster syndicate breaches covenants
Property,
104967
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