In­vestec snaps up Ma­jes­tic

Marlborough Express - - BUSINESS - CHLOE WIN­TER

Welling­ton’s tallest build­ing, the Ma­jes­tic Cen­tre, has been sold to a sub­sidiary of a ma­jor South African in­vest­ment bank for more than $123 mil­lion.

Kiwi Prop­erty Group, the largest prop­erty com­pany listed on the NZX, has struck a deal with In­vestec Aus­tralia Prop­erty Fund, which is owned by In­vestec.

In­vestec is a sig­nif­i­cant in­vest­ment bank and as­set man­ager, and has long been the spon­sor of

Su­per Rugby.

The tower is be­lieved to be the com­pany’s first in­vest­ment in New Zealand’s com­mer­cial prop­erty mar­ket. The deal, bro­kered by Matthew St Amand and Bill Leckie of CBRE, is the big­gest sin­gle of­fice prop­erty sale in Welling­ton in the past 10 years.

As part of the $123.2m sale ar­range­ment, Kiwi Prop­erty has been ap­pointed man­ager of the build­ing, which has been the sub­ject of one of the coun­try’s largest seis­mic up­grade projects.

Kiwi Prop­erty chief ex­ec­u­tive Chris Gud­geon said pro­ceeds from the sale, which was due to set­tle next month, would be used to pay down debt, pro­vid­ing fur­ther flex­i­bil­ity for the com­pany to in­vest in line with its strat­egy.

St Amand said in­ter­est had been very strong, be­cause of the ex­ten­sive seis­mic up­grade.

Built in 1991, the 29-storey build­ing has re­cently com­pleted an $85m earth­quake strength­en­ing project, hav­ing been deemed to be of mod­er­ate risk in as­sess­ments in the wake of the Christchurch earth­quake.

Welling­ton’s Ma­jes­tic Cen­tre.

Newspapers in English

Newspapers from New Zealand

© PressReader. All rights reserved.