Quarterly Report June 2019

Wearepleasedtoprovideshareholderswithan
updatesinceourinterimresultsearlierthisyear.
SUCCESSFUL EQUITY ISSUE
Duringthequarter,Precinctraised$151.8million
throughaanunderwrittenplacement(Placement)and
underwrittenretailoffer(RetailOffer).
Wewerepleasedwiththeinvestmentdemandshown
frombothourinstitutionalandretailinvestors.$130
millionwasraisedthroughthePlacementand
applicationstotalling$21.8millionwasreceivedviathe
RetailOfferwhichexceededtheoffersizeof$20million.
Thefundsraisedhavebeeninitiallyusedtorepaybank
debtandprovideadditionalcapacitytodeliveron
mediumtermopportunitiesincludingBowenCampus
StageTwoandWynyardQuarterStagesThreeand
Four,andprovideflexibilityforgrowthopportunities
whentheyarise.
LONG TERM FUNDING SECURED
InApril,PrecinctannounceditborrowedUS$110million
(NZ$162.8million)for10and12yeartermsthrougha
UnitedStatesPrivatePlacement(USPP)issue.
ThisisthesecondsuccessfulUSPPissuePrecincthas
undertakensincelate2014.Thistransaction
demonstratesthestrongdemandfromUSinvestorsand
furtherreinforcesinvestorconfidenceinthequalityof
ourbusiness.TheUSPPissuancecontinuestoadd
valuablefundingdiversitytoPrecinct’sborrowings,
increasingtheweightingofnon-bankfundingwhilealso
improvingtenor.Theproceedsoftheissuewillbeused
torepaybankdebt.
OUTLOOK
Fullyearoperatingearningsaftertaxforthe2019
financialyearareexpectedtobearound6.60cents
pershare,beforeperformancefees.Dividend
guidancealsoremainsunchangedat6.00centsper
share,representinga3.4%increaseindividendsto
shareholders.Our2019yearendresultsannouncement
willbeonthe16thofAugustwheretheBoardwill
provide2020earningsanddividendguidance.
Yoursfaithfully,
CraigStobo,Chairman
DEAR SHAREHOLDER,
Quarterly update
June 2019
Financialinformationisshownasat31March2019
Artists impression of the proposed
Wynyard Quarter development
PRECINCT KEY METRICS (31.03.19)
$2.6bn100%8.6years
Portfolio valueOverall occupancyWeighted average lease term
$2.0bn5.8%68%
Market capWeighted average cap rateWeighting to Auckland(by value)
Payment date21 June 2019
Excluded dividend per share1.149658 cents per share (cps)
Fully imputed dividend per share0.350342 cps
Cash dividend per share1.50 cps
Imputation credits0.136244 cps
DIVIDEND
Proposed
4th Quarter 2019 financial year27 September 2019
1st Quarter 2020 financial year6 December 2019
INDICATIVE DIVIDEND PAYMENT DATES
ThesedatesrepresentthecurrentexpectationofPrecinct(PCT)asatthe
dateofpublication,aresubjecttoPCTboardapproval,maychange
withoutnoticeandarenotaguaranteeorwarrantyastothepaymentof
adividendortheactualpaymentdates.
Year to date (Unaudited)
Dividends declared4.50 cps
Full year forecast operating earnings per share
(before performance fees)
6.60 cps
Full year forecast dividend per share6.00 cps
FINANCIAL SUMMARY
as at 31.03.2019
Balance sheet
Unaudited
31 March 19
Audited
30 June 18
Total assets$2,581.1 m$2,561.7 m
Net equity$1,808.5 m$1,690.7 m
Number of shares on issue1,313.8 m1,211.1 m
Net tangible assets per share$1.38$1.40
Bank covenant gearing (%)20.7%25.0%
Total gross returnPrecinct (NZX: PCT)Listed Property
March quarter6.4%8.5%
SHAREHOLDER RETURNS
Returns are based on close price for the quarter, and assume reinvestment
of dividend (returns exclude imputation credits). Listed property is the
S&P/NZX All Real Estate Gross index. Source IRESS
COMMERCIAL
BAY

DISCLAIMER:TheinformationandopinionsinthisreportwerepreparedbyPrecinctPropertiesNewZealandLimited(PCT).PCTmakesnorepresentation
orwarrantyastotheaccuracyorcompletenessoftheinformationinthisreport.Opinionsincludingestimatesandprojectionsinthisreportconstitutethe
currentjudgmentofPCTasatthedateofthisreportandaresubjecttochangewithoutnotice.Suchopinionsarenotguaranteesorpredictionsoffuture
performance.Thisreportisprovidedforinformationpurposesonlyanddoesnotconstituteinvestmentadvice.
NeitherPCT,noranyofitsBoardmembers,officers,employees,advisers(includingAMPHaumiManagementLimited)orotherrepresentativeswillbe
liableforanydamage,lossorcostincurredbyanyrecipientofthisreportorotherpersoninconnectionwiththisreport.
Pleasecontactourregistrar,Computershare
•Tochangeinvestmentdetailssuchasname,postaladdressormethodofpayment,and
•Forquestionsonyourdividendandshareholding
REGISTRAR: Computershare Investor Services Limited. T +64-9-488-8777 Email: enquiry@computershare.co.nz
If you have any questions please feel free to email us at hello@precinct.co.nz
COMMERCIAL BAY
PROJECTUPDATE
FollowingadetailedindependentreviewoftheconstructionprogrammeinMay2019forCommercialBay,the
previouslydisclosedtargetedopeningdateshavenowbeenrevised.TherevisedtargetedopeningdatesareMarch
2020fortheretailcentreandApril2020forthenewPwCTower.Thisisduetoobserveddelaysinconstructionprogress
bythemaincontractor,FletcherConstruction,acrossboththeTowerandretailcentrecomponents.
Duetothisrevisiontheforecastedtotalprojectcostisnowexpectedtobebetween$690millionand$700millionwith
thepotentialincreaseofupto$10millionreflectingthecostofdelaystoopening.Theyieldoncostisexpectedto
remainlargelyunchangedinarangeof7.4%to7.5%,ensuringthatthedevelopmentremainsontracktodeliverthe
expectedbenefitstoPrecinct’slong-termearnings.Pleasingly,retailleasingcommitmenthasincreasedtoabove92%,
andofficeleasingcontinuestoadvance,withfurtherleasingbeyondthecurrentlycommitted80%progressingwell.
YoucanreadthefullNZXrelease-CommercialBayProgrammeUpdate,announcedlastmonthhereorbyvisiting
Precinct’swebsiteathttps://www.precinct.co.nzundertheInvestorssection,reportinganddisclosuredocuments.
RETAILERSANNOUNCED
With120brandnewretailers,theretailoffersettoopeninCommercialBaywillbeavariedmixofinternationalretail
giantsandsmallerNewZealandbrandsandwillincludeanumberofnewmarketentrants.Around44ofthe120shops
willberestaurantsanddiningoutlets,halfwillbefashion,andthebalancewillbededicatedtoservice-based
amenities.
RetailerssettoopeninCommercialBayincludeDiorPerfumesandBeauty,Sandro&Maje,KateSpade,Furla,Hershel
SupplyCo.NewZealandbrandsincludeFederation,3WiseMenandBarkers.Wittner,Solect,Scarpawillalsojoin
previouslyannouncedretailersatthecomplex,Rodd&Gunn,SuperetteandJustAnotherFisherman.HairsalonLoxy’s
willbeopeningaCommercialBaysalon.
FoodandbeverageoperatorsAlBrown,BenBayly,Saxon&Parole,GhostDonkey,BurgerBurger,HawkerandRoll,
SimonandLeeandHonestChocolatareallpartofthemixofbothinternationalandhomegrownvendors.
CommercialBay'sfoodhallconceptHarbourEats,locatedonthesecondlevelofthecomplex,willhousearound27
operatorsincludingfoodtruckbrandsKaiEateryandGotPasta,andwillhaveupto700seats.Othervendorsinclude
cafes,popularMiddleEasterneateryFatima’sandjuicebarCaliPress.