Steady performance by Goodman Property
While net income from rents was 4.3% higher at $55.4 million, various expenses and tax changes saw the slightly reduced distributable profit.
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Goodman Property Trust has posted a bottom line profit after unusual items just shy of the same period last year.
The distributable profit available to shareholders for the six months ending September 2011 was $29.1 million compared with the previous corresponding period of $30.2 million.
While net income from rents was 4.3% higher at $55.4 million, various expenses and tax changes saw the slightly reduced distributable profit.
The value of the portfolio was virtually unchanged at $1.6 billion. Results over the past three years have recorded downward revaluations.
More than 43,000sq m of industrial space was leased during the period with an average lease term of five and a half years. Almost 30% of this space was taken by new customers with the balance being lease renewals and extensions secured from within the portfolio.
This leasing activity helped the trust attain an occupancy rate of 96%.
The chief executive of the manager of the trust, John Dakin, reported a significant lift in development activity with five new projects announced. They will provide another 45,030sq m of rentable area once completed.
They include the beginning of stage one of The Crossing, a mixed use development at Highbrook Business Park, anchored by Quest Serviced Apartments; automotive parts and equipment retailer Super Cheap Auto committing to a new 20,530sq m office and warehouse facility at Savill Link in Otahuhu; pre-commitments from specialist food supplier, Scalzo Food Industries and electronics manufacturer and distributor, Panasonic New Zealand at Highbook Business Park; and a 2250sq m extension to an existing facility at Highbrook for National Aluminium.
Refinancing and debt adjustments mean the trust has a loan to value ratio of 35.9%.
A new director, Leonie Freeman, was appointed as an independent director top the board of the management company, Goodman (NZ).
The trust will pay out 80% of distributable earnings after tax, making a full year cash distribution of 6.25c per unit.
Chris Hutching
Wed, 09 Nov 2011
Wed, 09 Nov 2011
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Steady performance by Goodman Property
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