Another Westfield mall sold

Westfield Pakuranga mall has been sold for $81.7 million

Free audio stream, including stories that are padlocked on our site. Listen on any device, anywhere. Updated twice daily. The audio stream takes several seconds to start on Android devices.

Launch Radio player

Colliers has brokered the sale of the Westfield Pakuranga mall in Auckland’s eastern suburbs.

A “local private high-net wealth entity” bought it for $81.7 million.

The sale is the third major shopping centre transaction in Auckland brokered by Colliers International in the past six months.

Shore City in Takapuna was sold to Aviva Investors Asia Pacific Property Fund for $83.5 million in June, followed by the Downtown Shopping Centre, which was sold for $90 million to listed Precinct Properties in September.

The sale demonstrates continuing appetite for large, well-located retail property assets, according to John Goddard of Colliers International.

He says many large retail assets represent better value than office and industrial investments at present, with several extremely attractive buying opportunities available.

The timing in the property cycle represented excellent buying, according to Mr Goddard.

“However, that is unlikely to last as yields compress with the improving market and the increasing weight of demand on larger assets.”

The Pakuranga mall has 100 retail tenants across nearly 30,000sq m of floor area with only one vacancy. It is anchored by Countdown and Farmers and generates total annual net income of $8.9 million.

The property is located on a 4ha site near St Kentigern College.


This article is tagged with the following keywords. Find out more about MyNBR Tags

1 Comment & Question

Commenter icon key: Subscriber Verified

"He says many large retail assets represent better value than office and industrial investments at present, with several extremely attractive buying opportunities available." Agent spin for the deal.

The sale represents a cap yield of 9.2% with only one vacancy and no indication of WALT.
I'd rather the no-fuss ownership of similar value office and / or industrial investments, especially at that yield.

Reply
Share
  • 0
  • 0

Post New comment or question

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.

NZ Market Snapshot

Forex

Sym Price Change
USD 0.7567 0.0000 0.00%
AUD 0.9753 0.0000 0.00%
EUR 0.6945 0.0000 0.00%
GBP 0.5084 0.0000 0.00%
HKD 5.8650 0.0000 0.00%
JPY 90.0730 0.0000 0.00%

Commods

Commodity Price Change Time
Gold Index 1198.2 -4.740 2015-03-27T00:
Oil Brent 56.4 0.950 2015-03-27T00:
Oil Nymex 48.9 -2.560 2015-03-27T00:
Silver Index 17.1 -0.090 2015-03-27T00:

Indices

Symbol Open High Last %
NZX 50 5833.2 5854.2 5833.2 0.36%
NASDAQ 4863.7 4899.3 4863.4 0.57%
DAX 11920.2 11954.1 11843.7 0.21%
DJI 17673.6 17729.1 17678.2 0.19%
FTSE 6895.3 6910.6 6895.3 -0.58%
HKSE 24541.4 24549.9 24497.1 -0.04%
NI225 19374.7 19590.0 19471.1 -0.95%