Monday 26th March 2018
|Text too small?|
Argosy Property has entered into an unconditional sale of property in Auckland for $31 million, a price that presents a 13 percent premium over its latest book value, the company said in a release to the stock exchange.
According to Argosy, the Feb 28 book value of 7 and 7A Wagener Place, St Lukes, was $27.4 million. The settlement is expected to occur in July 2018.
“The market for commercial real estate remains attractive for long-term investors divesting real estate," said chief executive Peter Mence. "The sale presents an opportunity to reduce our retail exposure in an area where there will be increasing competition. It allows us to keep delivering on our strategy and we will reinvest the proceeds into other brownfield development opportunities across the portfolio."
Argosy has been diversifying its property portfolio outside Auckland, buying industrial sites which now make up 40 percent of its portfolio, according to the November half-year report.
Separately, it said it settled the sale of 14 Tunnel Grove, Wellington for $2.8 million.
The stock last traded at $1.00 and has shed 7.8 percent so far this year.
No comments yet
MARKET CLOSE: NZ shares gain; a2 hits new record, F&P climbs on patent deal
NZ dollar eases against Aussie on strong jobs data
KiwiSaver funds face unrealised capital gains tax on NZ and Aussie shares
Planning changes need to speed renewables development - Meridian
A guide to the Tax Working Group's 'other' recommendations
MYOB adds 57% more subscribers in 2018 but total online customers still lag Xero's
Investors fear chilling effect as former IRD boss opposes capital gains proposals
Stuff 1H earnings slide but Nine still optimistic of finding buyer
NZ Post achieves first-half revenue growth for the first time since 2015
TeamTalk affirms annual earnings guidance as rising costs dent first-half profit