MGP acquires in prominent Auckland office precinct

MGP acquires in prominent Auckland office precinct

Macquarie Goodman Property Trust and Macquarie Goodman Industrial Trust (“MGI”) have acquired a high quality office building in the Viaduct Harbour, Auckland for NZ$25.8 million.

Under their co-ownership arrangement, MGP and MGI have acquired HP House, Maritime Square Office Park in the Viaduct Harbour from Kiwi Income Property Trust.

This 7,369 square metre, six level office building with basement car park was developed in 2000 and is one of the larger buildings in the Viaduct Harbour. Its position commands a high degree of prominence and exposure in the Viaduct and gives customers easy access to expressways. It is also complimented by its close proximity to the IBM Centre – an existing property jointly owned by MGP and MGI.

HP House introduces new high quality customers to the portfolio, being 51.1% leased to Bayleys Real Estate and the balance leased to Hewlett-Packard NZ. Bayleys Real Estate is New Zealand's leading property marketer, with over 700 people working in offices in key metropolitan and provincial areas throughout New Zealand.

Hewlett-Packard NZ is a leading technology solutions provider employing 580 staff across New Zealand. HP is an existing customer of MGI in Australia, located at 4 properties with annual rental of A$5.9 million.

The property’s annual net rental is NZ$2.5 million providing an initial yield of 9.7 per cent. The weighted average lease term for the property is about 3.8 years.

MGP chief executive officer John Dakin said the acquisition of HP House was important in diversifying its offering to customers. “HP is strategically placed in the heart of Auckland’s growing and popular Viaduct Harbour business district.”

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