The week in New Zealand real estate - 24 July 2020

The week in New Zealand real estate 24 July 2020  hero

Institutional investors

  • Augusta Capital have relaunched their Augusta Property Fund with Hamilton’s Anglesea Medical Centre as the initial property in the fund. The fund was previously earmarked to include the Albany Lifestyle Centre, but that deal did not proceed. More info here.
  • Oceania Healthcare reported an underlying net profit after tax of $42.9M for the year ending 30 March 2020. This was 15.4% lower than the prior year due to higher development funding costs and higher depreciation from completed projects. More info here.

Office

  • A derelict Christchurch office building at 159 Hereford Street is now for sale. The The 6-storey building has been on the ‘Dirty 30’ buildings list since 2017, and has been empty since the Christchurch earthquake. More info here.

Retail

  • AMI Insurance is closing its network of 53 branches across New Zealand. More info here.
  • The Warehouse is turning its Dunedin central store into a ‘dark store’ for fulfilling online orders. They have confirmed the closure of three more stores. More info here.
  • Smiths City is moving its flagship store to the Colombo Mall in Sydenham, Christchurch. More info here.

Housing

  • The government has released its National Policy Statement on Urban Development. A key element is stopping councils from imposing height limits of less than 6 storeys in city centres. More info here.
  • GYP Properties, a Singaporean developer, has announced a residential subdivision of the former Papakura Golf Course. The 22 hectare site will have more than 500 new homes. More info here.

Hotels

  • The government has indicated the 32 hotels being used as managed isolation facilities are near full capacity. The hotels can house up to 7,000 people. More info here.
  • Government agency Ōtākaro Ltd has rejected requests plans for high rise hotels around the new Te Pae convention centre. The planned hotels would have shaded parts of Cathedral Square. More info here.

Specialist

  • Christchurch International Airport has purchased 750 hectares of farm land outside of Wanaka for a potential airport to compete with Queenstown Airport. More info here.

Government

  • Auckland Council confirmed a 3.5% rates rise as part of the adopted emergency budget. More info here.
  • Team New Zealand has been paying $1 per year in rent to lease the Viaduct Events Centre from Auckland Council. The lease was intended to run to 2027 with a market rent review in 2021. The lease may be terminated late next year to assist with bolstering council's revenue. More info here.
  • A Wellington Ctiy Councillor sought legal advice around her right to express opinions about seismic strengthening options for the Wellington central library. She was concerned about the recommendation of a high cost option. More info here.

Related Experts

Chris Farhi

Director | Strategic Advisory

Auckland CBD

Chris is a Director within the Strategic Advisory team. The team helps you with your big property decisions and complex transactions.

Chris' advisory work focuses on:

  • Decision making processes (eg property strategy, business cases, feasibilities, etc)
  • Tenant representation for large lease transactions (office,  industrial and specialist-use)
  • Multi-site networks (eg consolidation strategies, optimisation, etc)

Chris’ background in brief:

  • Property strategy advisor for some of New Zealand’s most successful private sector, public sector and non-for-profit organisations.
  • Tenant representative (tenant-paid lease negotiator) for organisations ranging from small-to-medium enterprises through to major listed companies and government agencies.
  • Specialist skills in commercial leasing, financial analysis and market research.
  • Part-time lecturer at the University of Auckland Business School and commercial leasing trainer for the Royal Institution of Chartered Surveyors.

Chris’ qualifications include Honours degrees in both Civil Engineering and Property from the University of Auckland, and a Master of Philosophy from the University of Cambridge, UK. He is a Chartered Member of the Royal Institution of Chartered Surveyors.

Outside of work, Chris is a combat engineer in the NZ Army Reserve and a keen baker.

View expert

William Silk

Analyst | Stategic Advisory

Auckland CBD

William joined the Strategic Advisory team as an Analyst  in the Auckland CBD office in 2019, after completing studies at The University of Auckland. 

Specialising in reseasrch, reporting and analysis to support strategic commercial proprety decision making. 

View expert