Published 4 September 2017, updated 6 September 2017:
The Reserve Bank has gone further into commercial sub-leasing – not because it saw how to use space better, but to meet its schedule of payments to the Government. The NZ Defence Force has signed a lease to occupy 3 floors in the Reserve Bank building in Wellington, beginning sometime in the next 4 months (the bank said ‘later this year’).
Update paragraph: The bank told me yesterday it owned the building and wasn’t subletting. In my shorthand I called it subletting because the bank is leasing out space so it can pay its owner, the Government, not because it didn’t need the space. Strictly, it’s a lease. In effect, the bank’s not an owner in control.
The bank’s head of currency, property & security, Steve Gordon, said today the Defence Force would be the fourth tenant in the building, joining the Parliamentary Counsel Office, Parliamentary Commissioner for the Environment and the State Services Commission.
He said the bank had vacated the floors being leased to the Defence Force as part of a strategy to increase its property income to meet its funding agreement.
The bank has been leasing space in the building, at No 2 The Terrace, since at least mid-2016.
Mr Gordon said the appeal of the building lay in its top seismic rating & proximity to Parliament. The building is being refurbished to modernise its interior.
Attribution: Bank release.