GMT Announces $74.9 million Development Package

Level 2, 18 Viaduct Harbour Avenue, Auckland | PO Box 90940, Victoria Street West, Auckland 1142
Tel +64 9 375 6060 | www.goodman.com/nz
nzx release+
GMT Announces $74.9 million Development Package
Date 18 September 2019
Release Immediate
Goodman (NZ) Limited, the Manager of Goodman Property Trust (“GMT” or “Trust”),
is pleased to announce the commencement of five new industrial developments
with a total project cost of $74.9 million.
The five projects, which are being developed on a build-to-lease basis, are expected to
generate $4.6 million of annual rental income once fully leased and income-producing.
Goodman (NZ) Limited's Chief Executive Officer, John Dakin said, “Historically low
vacancy levels and a lack of appropriately zoned development land means the Auckland
industrial market is supply constrained. Businesses are at capacity and those that require
additional warehouse and logistics space have very few options. GMT’s own portfolio is
full, and with no vacant warehouses available these new build-to-lease projects will provide
much needed new supply.”
The developments include:
+ Island Units – a seven-unit development providing 4,265 sqm of
warehouse/showroom space on Underwood Street and Business Parade
South, Highbrook Business Park, East Tamaki.
+ Waiouru Point – overlooking the Tamaki River on Waiouru Road, at
Highbrook Business Park, the adjoining developments provide a combined
4,359 sqm of office and warehouse space.
+ M20 9,000 – positioned at the front of M20 Business Park on Plunket Road
in Manukau, the development includes a 9,130 sqm warehouse together with
500 sqm of office space.
+ Westney 4,500 – located on Timberley Road at Westney Industry Park the
development provides 4,970 sqm of warehouse and office space.
+ 68 Westney Road – 3,377 sqm warehouse extension to an existing facility at
Westney Industry Park in Mangere.

The five developments add to the $140.7 million of projects currently underway, meaning
GMT now has over $215 million of work in progress. Most of this activity is at Highbrook
Business Park in East Tamaki. On completion of current projects, GMT’s largest estate will
be over 90% developed, with a value in excess of $1.5 billion.
John Dakin said “We’ve made rapid progress with the development programme in recent
years with more than $780 million of new project commencements since 2014. It’s added
to the quality of the portfolio and contributed to the record profits achieved by the Trust.
Following completion of all current projects the Trust’s development land weighting is
expected to reduce to less than 2% of portfolio value.”
GMT’s development programme has always included a combination of design-build and
build-to-lease projects. It’s a proven strategy with the 15 warehouses developed on an un-
committed basis last year being leased either before completion or shortly after.

Including the projects announced today GMT has 50,664 sqm of uncommitted space now
under development, this represents just 4.5% of GMT’s total portfolio.
John Dakin said “These new facilities will provide customers with another option for their
space requirements. They are of a size and design that is likely to appeal to a wide range
of occupiers and we expect them to lease quickly.”
A schedule of all current development projects, including those announced today, is
attached as an appendix to this announcement.
For further information please contact:
John Dakin Andy Eakin
Chief Executive Officer Chief Financial Officer
Goodman (NZ) Limited Goodman (NZ) Limited
(021) 321 541 (021) 305 316

James Spence
Director Investment Management
Goodman (NZ) Limited
(021) 538 934

About Goodman Property Trust:
GMT is an externally managed unit trust, listed on the NZX. It has a market capitalisation of around $2.8 billion, ranking it in the
top 20 of all listed investment vehicles. The Manager of the Trust is a subsidiary of the ASX listed Goodman Group, Goodman
Group is also the Trust’s largest investor with a cornerstone unitholding of 22%.
GMT is New Zealand’s leading industrial space provider. It has a substantial property portfolio, with a current value of $2.8 billion.
The Trust holds an investment grade credit rating of BBB from Standard & Poor’s.

Level 2, 18 Viaduct Harbour Avenue, Auckland | PO Box 90940, Victoria Street West, Auckland 1142
Tel +64 9 375 6060 | www.goodman.com/nz
Appendix 1:

GMT development proj ects

Development Project Estate
Expected
Completion
Date
Total
Project
Cost $m
Net
Lettable
Area sqm
Leasing
Status
Underwood 1,000 Highbrook Business Park Oct-19 3.6 1,026 Uncommitted
El Kobar Units Highbrook Business Park Dec-19 18.0 5,330 34%
The Crossing Carpark Highbrook Business Park Nov-19 12.7
- 50%
Underwood 2,600 Highbrook Business Park Dec-19 9.4 2,990 100%
Business Parade 3,100 Highbrook Business Park Dec-19 11.2 3,530 Uncommitted
Big Chill Expansion Highbrook Business Park Feb-20 13.2 5,203 100%
Panasonic Expansion Highbrook Business Park Mar-20 8.0 2,660 100%
El Kobar 10,000 Highbrook Business Park Sep-20 26.1 10,400 Uncommitted
OfficeMax Expansion Highbrook Business Park Jul-20 20.3 7,344 100%
Savill Drive Units Savill Link Industry Park Mar-20 18.0 5,482 31%
Total Existing Projects 140.7 43,965

Waiouru Point Highbrook Business Park Oct-20 15.1 4,359 Uncommitted
Island Units Highbrook Business Park Feb-21 18.3 4,265 Uncommitted
M20 9,000 M20 Business Park Dec-20 25.0 9,630 Uncommitted
Westney 4,500 Westney Industry Park Oct-20 9.8 4,970 Uncommitted
68 Westney Road Westney Industry Park Dec-20 6.6 3,377 Uncommitted
Total New Development Package

74.9 26,601

Total All Current Developments


215.6 70,566


These projects, which have a combined total cost of $215.6 million (including land, construction, leasing and marketing costs
and all management and other professional fees), are expected to provide a blended yield on total project cost of around 6%,
once fully leased and income producing.