New Zealand’s Kiwi Property agrees to conditional sale of commercial tower in Auckland, ET RealEstate
BENGALURU: New Zealand‘s Kiwi Property said on Thursday it has agreed to a conditional sale of its commercial tower Vero Centre in Auckland to a Hong Kong-based conglomerate for NZ$458 million ($280.30 million).
Vero Centre, a flagship office asset in the company’s portfolio, is being sold at a discount of 1.9% to its last year’s September valuation, but at a property-level return of 11% from inception, Kiwi Property said in an exchange filing.
“Vero Centre … is no longer core to strategy, given the company’s focus on creating retail-led mixed-use centres,” Kiwi Property CEO Clive Mackenzie said.
The funds raised from the sale of the commercial property will be used to repay bank debt and for further investments, the company added.
