Precinct Business Update – COVID 19

Precinct Properties New Zealand Limited Head Office Wellington Office
E hello@precinct.co.nz Level 12, 188 Quay Street, Auckland 1010 T 0800 400 599 Level 19, 157 Lambton Quay, Wellington T 0800 400 599
W www.precinct.co.nz PO Box 5140, Auckland 1141, New Zealand F +64 9 927 1655 PO Box 2, Wellington 6140, New Zealand F +64 4 494 2267
NZX announcement – 24 March 2020
Precinct Business Update - Covid-19

Following the announcement made by the New Zealand Government that New Zealand has
been placed in Covid-19 alert level 3 and it will be rising to level 4 on Wednesday, Precinct
Properties New Zealand Limited (Precinct) (NZX: PCT) advises that all of its buildings and
construction sites are in the process of being safely and securely closed. This includes our
investment portfolio and both Wynyard Quarter and Commercial Bay in Auckland. All
Precinct operated offices in Auckland and Wellington and its Generator business will also be
closing until further notice, except to the extent required to allow any businesses conducting
“essential services” to operate.
Precinct remains in a strong financial position. Our balance sheet is strong with gearing as
measured under borrower covenants, which disregards subordinated debt of 25.4%
(covenant level 50%) at 31 December 2019. On a fully committed basis after allowing for all
committed projects, our gearing is 31%. Following the $150 million bank debt facility which
was refinanced in February 2020, Precinct’s next debt maturity is due in December 2021.
Precinct’s investment portfolio metrics include occupancy of 99% and a weighted average
lease term of around 9 years.
The closure of construction sites will inevitably result in delays to the completion of Commercial
Bay and Wynyard Quarter. While the cost of the delay will depend on the duration of the
closure, Commercial Bay is close to completion which will help limit the impact of the
interruption.
While the impacts of COVID-19 continue to evolve, we will continue to actively implement our
business continuity plans to ensure the right procedures and suitable precautionary measures
are in place to help protect the health and well-being of all our people, while also restricting
any potential negative impacts on the business.
While the negative impacts from the COVID-19 pandemic cannot yet be known and there
are risks to the downside, Precinct expects FY20 earnings to be materially in line with previous
guidance and to maintain its dividend at 6.30 cps.
Ends

Precinct Properties New Zealand Limited Head Office Wellington Office
E hello@precinct.co.nz Level 12, 188 Quay Street, Auckland 1010 T 0800 400 599 Level 19, 157 Lambton Quay, Wellington T 0800 400 599
W www.precinct.co.nz PO Box 5140, Auckland 1141, New Zealand F +64 9 927 1655 PO Box 2, Wellington 6140, New Zealand F +64 4 494 2267

For further information, please contact:
Scott Pritchard
Chief Executive Officer
Mobile: +64 21 431 581
Email: scott.pritchard@precinct.co.nz

George Crawford
Chief Operating Officer
Mobile: +64 21 384 014
Email: george.crawford@precinct.co.nz

Richard Hilder
Chief Financial Officer
Mobile: +64 29 969 4770
Email: richard.hilder@precinct.co.nz




About Precinct (PCT)
Precinct is New Zealand’s only listed city centre specialist investing predominately in premium
and A-grade commercial office property. Listed on the NZX Main Board, PCT currently owns
Auckland’s PwC Tower, AMP Centre, ANZ Centre (50%), Zurich House, HSBC House, Mason Bros.
Building, 12 Madden Street, 10 Madden Street and Commercial Bay; and Wellington’s AON
Centre, NTT Tower, No. 1 and No. 3 The Terrace, Pastoral House, Mayfair House and Bowen
Campus.
Precinct owns Generator NZ, New Zealand’s premier flexible office space provider. Generator
currently offers 13,600 square metres of space across four locations in Auckland.