PMG buys Kelston mall
Property investor and funds manager Property Managers Group (PMG) has made an off-market purchase of the Kelston shopping centre.
The west Auckland centre will be folded into one of PMG’s diversified investment funds, Pacific Property Fund Ltd (Pacific Property).
The purchase price was not disclosed.
However, PMG said it was the largest single purchase the 25-year old company had ever made.
Group chief executive Scott McKenzie said the Kelston shopping centre was an exciting opportunity, located as it was on two arterial routes. It was only 15 minutes to the city. The surrounding areas were predominantly designated for terrace housing and apartment buildings under the unitary plan.
‘‘Auckland Council has identified Kelston as a key suburb to facilitate intensification over the next decade which will have a positive impact on the centre.’’
The centre’s immediate primary catchment area was expected to grow by nearly 30 per cent to 42,000 by 2043.
Local resident purchasing power was also forecasted to increase 17 per cent, from $780 million in 2014 to $910 million in 2023.
Pacific Property Fund will launch a new share offer in September.
An aerial view of Kelston Shopping Centre, which is in a catchment zoned for denser housing.