Published 3 July 2012
Kiwi Income Property Trust has settled the $55 million sale of Beca House at 21 Pitt St to a private investor.
The trust entered into the unconditional contract in April. The price represented a 2% ($1 million) premium over the trust’s 31 March valuation and reflected an 8% initial yield.
Kiwi Income will use the net sale proceeds to retire bank debt. The sale followed a $5 million makeover of the building, where engineering consultancy Beca Ltd has progressively been taking up residence. Beca Corporate Holdings signed a 9-year lease agreement over 14,400m² of its 16,800m² of office space in 2010. The 10-level Beca House was built in 1990 and acquired by the trust in 1997 for $32.2 million.
It was the headquarters of the Auckland Regional Council until the 2010 local body elections, when the regional council & 7 territorial councils were replaced by the single Auckland Council.
30 April 2012: Kiwi Income sells Beca House after completing makeover
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Attribution: Company release, story written by Bob Dey for the Bob Dey Property Report.