KPG builds momentum with strong FY22 annual result

C
reating connected
communities
Annual Report for the year ended
31 March 2022

Creating
communities
The Grove Dining District, Sylvia Park
Kiwi Property
Annual Report 2022

connected
For nearly three decades,
Kiwi Property has invested
in and developed some of 
New Zealand’s best property
assets. We can look back
with pride on much of what
we have achieved, but there’s
plenty still to do.
Now we’re drawing on all our
experience and expertise to take
us into the future.
We are creating tomorrow’s
communities, today. Spaces that
inspire Kiwis to connect with
each other and the world around
them. Where living, working,
shopping and entertainment
intersect seamlessly. And people,
businesses, and the environment
all thrive. We call that mixed-use.
Right now, we’re building a
world-class property asset at
Sylvia Park in Auckland, featuring
an outstanding line-up of retail,
office and New Zealand’s first
major build-to-rent apartment
complex. Our extensive Sylvia Park
landholding offers a unique ability
to enhance the site over time,
developing a place of enduring
value and appeal.
We’re also poised to create a
Green Star Community at Drury,
which will set a new standard for
sustainability, urban design and
transit-oriented development.
And we’re shaping up to transform
the skyline of Auckland’s inner-
western suburbs with a potential
25-level mixed-use tower at
LynnMall that will deliver
unparalleled convenience and
proximity to public transport.
We’re excited and energised by
where our commitment to
creating connected communities
will lead and what it means for our
shareholders, our tenants and the
people who will call our assets
home. By reimagining places and
bringing them to life we are
securing Kiwi Property’s future
as an innovator and attractive
investment opportunity.
 
Kiwi Property
Annual Report 2022
01

The Terrace, Sylvia Park
Drury High Street. Artist’s impression
Kiwi Property
Annual Report 2022
02

Contents
2022 highlights4
Letter from the Chair6
Chief Executive Officer’s report10
A sense of place gains pace at Sylvia Park14
Creating a major Green Star
community at Drury
18
Getting on-board the flight to quality
in commercial property
22
Board26
Executive Team28
Financials30
Other information86
Corporate governance88
Remuneration report 90
Other investor information102
Directory109
Kiwi Property
Annual Report 2022
03

Net profit after tax
$
224.3
m
(+14 .1%)
Operating profit before tax
$
124.8
m
(+7. 3 %)
Property portfolio fair value movement
+$
120.5
m
(+3.5%)
2022 highlights
Kiwi Property
Annual Report 2022
04
Kiwi Property
Annual Report 2022
04

Net rental income
$
1 8 7.1
m
(+7. 8 %)
Adjusted funds from operations
$
100.4
m
(+1 2 . 3%)
Full year dividend
5.60
cps
(+8 .7 %)
Drury block plan. Artist’s impression
Kiwi Property
Annual Report 2022
05
Kiwi Property
Annual Report 2022
05

Letter from
the Chair
“ Kiwi Property’s robust result
will enable the Company to
pay a total cash dividend
of 5.60 cents per share, up
almost 9% on the year before.”
Kiwi Property
Annual Report 2022
06
Kiwi Property
Annual Report 2022
06

Dear shareholders,
While COVID-19 continued to
dominate the news headlines over
the past 12 months, Kiwi Property
has come through the year in
good shape, making significant
progress on the delivery of its
mixed-use strategy.
The Company produced a
strong operating performance
in the 2022 financial year (FY22),
with increases in key metrics
including sales, rents, profit, asset
values and adjusted funds from
operations. This pleasing outcome
will enable us to pay a total cash
dividend of 5.60 cents per share
(cps), up almost 9% on FY21.
More details of Kiwi Property’s
financial result can be found in
the Chief Executive Officer’s
report, which begins on page 10.
Building strategic
momentum
Four years ago, we embarked
on a journey to diversify our
portfolio, decrease our retail
exposure and create thriving,
mixed-use communities at key
metropolitan centres.
We knew that by bringing together
the best of retail, office and
residential assets on each site,
we’d diversify our income sources,
drive valuation uplift at our core
properties and create enduring
assets where Kiwis want to live,
work, shop and play. We also
understood the process would
take time and that there would be
challenges along the way.
Over the ensuing period, we’ve
been proven right on each of those
fronts, and today, Kiwi Property
has significant strategic
momentum and an exciting
pipeline of opportunities ahead.
Maintaining strategic
momentum
We began construction of a
second office building at Sylvia
Park in November 2021, furthering
the diversification of our asset
portfolio. This development,
known as 3 Te Kehu Way,
signals the next important
step towards the creation of a
thriving commercial hub, and
the continued evolution of
Sylvia Park into a world-class
mixed-use asset.
3 Te Kehu Way aims to capitalise
on the high levels of interest
in office space at Sylvia Park.
The development has been
designed with flexible working
and the specialist requirements
of medical practitioners in mind,
enabling us to effectively cater
to this important market.
Despite the challenging leasing
environment, 30% of the office
space in the building is now
committed, with strong interest
in the remaining area.
Becoming a leader in
build-to-rent
Around half of Aucklanders over
the age of 15 currently live in rental
accommodation, with this number
expected to rise to around 60%
by 2043.
1

“ The Company produced a strong
operating performance in the
2022 financial year, with increases
in key metrics including sales,
rents, profit, asset values and
adjusted funds from operations.”
1. Source: Stats NZ, JLL Research and Consultancy.
Kiwi Property
Annual Report 2022
07
Kiwi Property
Annual Report 2022
07

A lack of quality rental stock and
strong demand have pushed up
house prices and created fierce
competition for housing.
Build-to-rent (BTR) has the
potential to play an important role
in helping address this imbalance,
offering residents the flexibility of
renting, coupled with secure
lease terms, professional on-site
management and transparent
costs. The asset class is also
attractive to Kiwi Property,
helping to broaden our existing
asset base and provide a stable,
low-risk revenue stream and
robust capital growth.
Our ambition is to become a
leader in this sector, with our
mixed-use assets likely to include
a prominent residential presence
going forward. Construction of
New Zealand’s first major BTR
development is already underway
at Sylvia Park, with the
295-apartment complex likely to
begin renting in early 2024. More
information about the
transformation of Sylvia Park,
including the 3 Te Kehu Way and
BTR projects, is available on page
14 of this Annual Report.
Land creates
competitive advantage
Our large strategic landholdings at
Sylvia Park, LynnMall, The Base
and Drury are a source of major
competitive advantage for our
business. Unlike many other
property entities, we don’t need to
compete for new sites or assets in
order to grow. With mixed-use
assets that span almost 125
hectares, we have the unique
ability to focus on improving our
existing properties for years
to come.
In many ways, this makes us the
master of our own destiny, able to
move forward with new
developments at our own pace, in
line with demand, funding and the
broader operating environment.
This is particularly important in the
current environment, where supply
chains are being disrupted and
input costs are on the rise. Our
landholdings give us the flexibility
to wait for conditions to normalise
before proceeding, or to move
quickly when specific
opportunities present themselves,
as is the case with BTR.
At Sylvia Park, for example,
around half of our 34-hectare
landholding has capacity for further
intensification, providing scope for
us to potentially build up to 1,200
BTR apartments, five office towers,
a hotel, and around 16,400 square
metres of large format retail, over
time. Not only does the scale of
our landholding give us the scope
to undertake this exciting
potential future development,
it also provided the flexibility to
conditionally sell 3.2 hectares of
land to IKEA in November 2021,
where we have the ambition
of them building their first
New Zealand flagship store.
Creating a clear
funding pathway
Kiwi Property’s current
development pipeline is one of
the most exciting in our history.
We have a unique range of
opportunities ahead that span
both asset classes and locations,
positioning the Company for
significant growth in the future.
Funding this pipeline is a key
consideration and not without
its challenges. In order to be
successful over the long term we
will need to be selective about
what we pursue and when we
pursue it. We will also require a
range of funding mechanisms,
making the second pillar of our
strategy – growing with third
party capital – particularly
important in FY23.
With this in mind, following
detailed analysis to identify our
preferred initial funds
management project, we have
begun the process of establishing
a standalone CBD office co-
investment platform. We’re
pleased to be moving ahead with
this important initiative, which we
expect to attract strong interest.
We also have a range of other
mechanisms available to fund our
development pipeline, including
the establishment of investment
platforms across one or more of
our mixed-use properties, such as
Sylvia Park, LynnMall or Drury. In
parallel, our capital recycling
programme continues, including
the Northlands sales process. We
have temporarily withdrawn The
Plaza from the market while we
conduct seismic assessments of
the centre. While this delay is
disappointing, we believe it is the
right move and will ultimately
enable a more certain transaction.
“ Our large strategic landholdings
at Sylvia Park, LynnMall, The Base
and Drury are a source of major
competitive advantage.”
Kiwi Property
Annual Report 2022
08
Kiwi Property
Annual Report 2022
08

Governance
We are living and working in an
incredibly complex period. Factors
such as COVID-19, rising inflation,
the war in Ukraine and disruption
in the construction sector have
combined to create an uncertain
operating environment. During
times such as this, the Board and
I are particularly conscious of
both our role in helping the
business navigate risk and the
importance of maintaining the
highest standards of governance.
We are committed to effectively
representing the interests of
Kiwi Property’s shareholders,
with a focus on continuous
improvement and enhanced
transparency.
This viewpoint has been
instrumental in the preparation of
this year’s Annual Report and the
increased levels of disclosure
around areas such as executive
compensation. On page 90 you
will find a comprehensive
Remuneration Report, including a
fulsome breakdown of the CEO’s
salary and incentives, and the
performance goals used to
determine his compensation.
The establishment of the
Environmental, Social and
Governance (ESG) Committee
two years ago has ensured steady
progress towards the ambitions
and specific targets set out in
our Sustainability Strategy. Our
committee works closely with the
ESG Leadership Team to discuss,
identify and respond to
sustainability related issues and
opportunities. Our progress is
detailed in our standalone
Sustainability Report, available for
download from our website.
Delivering for
shareholders
While the Company delivered a
strong operating performance in
FY22, its share price has not met
expectations. Kiwi Property is a
robust business, however over the
past year, the market hasn’t
recognised what we believe to be
the true value of the Company,
its assets or the pipeline of
opportunities we have ahead.
Some of this mispricing is likely
due to sector and macroeconomic
factors beyond our control. In
FY23 though, we will continue to
focus squarely on those that are,
such as delivering on our strategy,
unlocking funding, and intensively
managing our properties.
We are committed to creating
value for our shareholders,
including driving an uplift in the
price of Kiwi Property stock and
delivering sustainable dividend
growth. As such, we are targeting
a cash dividend of no less than
5.70 cps for FY23, based on
current market conditions and
barring unforeseen circumstances.
Outlook
The 2023 financial year has the
potential to be a decisive one for
the Company as we build further
momentum in the intensification of
our mixed-use assets, move
forward with the launch of our
CBD office co-investment
platform and make substantive
progress on the Sylvia Park BTR,
and 3 Te Kehu Way developments.
We’ve worked hard over recent
years to transform Kiwi Property
into a creator of thriving mixed-
use communities. As we head into
the new financial year, the benefits
from our transformation efforts
move ever closer, unlocking
exciting opportunities for the
Company and its stakeholders.
Thank you for your continued
support.
Mark Ford
Chair
“ We are committed to effectively
representing the interests of
Kiwi Property’s shareholders, with
a focus on continuous improvement
and enhanced transparency.”
Kiwi Property
Annual Report 2022
09
Kiwi Property
Annual Report 2022
09

Chief Executive
Officer’s report
“ Net profit after tax was $224.3
million, up 14.1% on the prior
year, driven by a $120.5 million
or 3.5% gain in the fair value of
our diversified asset portfolio.”
Kiwi Property
Annual Report 2022
10
Kiwi Property
Annual Report 2022
10

Introduction
Kiwi Property achieved a robust
annual result for the year ended
31 March 2022 and accelerated
its transition into a creator of
connected communities.
Although COVID-19 had an
inevitable impact on the Company
through the financial year, our
focus on maintaining strict
operational discipline and asset
management enabled us to
mitigate the effects of the
pandemic and end FY22 in a solid
financial position.
Strong financial
performance
Net profit after tax was $224.3
million, up 14.1% on the prior year,
driven by a $120.5 million or 3.5%
gain in the fair value of our
diversified asset portfolio.
Pleasingly, this valuation uplift was
broad-based, with The Base, Vero
Centre, Westgate Lifestyle, Centre
Place North and Drury all
performing well. Sylvia Park
Precinct (comprising Sylvia Park
Shopping Centre, Sylvia Park
Lifestyle, ANZ Raranga, Sylvia Park
BTR, 3 Te Kehu Way and a number
of adjoining properties) continues
to go from strength to strength,
highlighting the strategic value of
our diversification agenda. As at
31 March 2022, Kiwi Property’s
property portfolio was valued at
$3.6 billion, placing it amongst the
largest in the country.
Kiwi Property’s net rental income
rose 7.8% to $187.1 million in FY22,
despite the headwinds caused by
the pandemic, with delays to the
sale process of Northlands and
The Plaza offsetting the significant
cost of providing $17.4 million in
rent relief to our hardest hit
tenants. Operating profit before
tax was also up, growing 7.3% on
the prior year to $124.8 million, a
particularly pleasing result given
the challenging economic climate.
Equally positive was the 4.2%
rental increase on new leases and
rent reviews, demonstrating the
strong continued demand for
space at our assets. Although the
threat of Omicron prompted a
reduction in visitor numbers to our
assets in 2022, average spend
jumped significantly, resulting in a
6.7% increase in total sales for the
year. In parallel, occupancy across
our office and mixed-use
portfolios was 99.8% at year end.
These trends highlight the
resilience of our assets and the
flight to quality in the property
sector, which Kiwi Property is
ideally placed to capitalise on.
Employment and administration
expenses rose almost 12% in FY22.
There are good reasons for this.
While the Company maintained
tight financial control throughout
the year, we have made a number
of strategic investments in data
and digital technology that will
support our growth, and the
opportunities that come from it.
The upfront cost of this new
infrastructure is significant,
however the tools we are
implementing will help drive
efficiency, unlock business
insights, enhance our customers’
experience and manage our assets
more effectively.
“ As at 31 March 2022, Kiwi Property’s
property portfolio was valued at
$3.6 billion, placing it amongst the
largest in the country.”
Kiwi Property
Annual Report 2022
11
Kiwi Property
Annual Report 2022
11

Work is currently underway on a
range of digital solutions that will
help empower tenant performance,
including a bespoke ‘customer
hub’ and the implementation of a
new enterprise reporting platform
(ERP). This once in a decade
investment will help support
Kiwi Property’s growth ambitions,
particularly as we extend our BTR
and funds management activities.
Delivering through
disruption
While the pandemic has been
problematic for many in the retail
sector, Sylvia Park has continued
to deliver growth in sales,
occupancy and rents, reinforcing
the asset’s standing as the
country’s favourite shopping
centre. Despite the logistical
challenges caused by border
closures and alert level
restrictions, we’ve worked with
iconic retailers such as Culture
Kings and JD Sports to deliver a
series of ground-breaking store
openings, creating a thriving new
athleisure precinct at the heart of
the centre.
During the year we also made
significant progress on our
ambition to transform LynnMall
into a thriving mixed-use
community, obtaining resource
consent for an exciting 25-storey
tower that is set to change the
New Lynn landscape. Integrating
ground floor retail, three
commercial office levels and 245
build-to-rent apartments, the
development will connect directly
into the existing shopping centre,
offering residents unparalleled
convenience and a range of retail,
entertainment and transport
options virtually on their doorstep.
Elsewhere, our Drury Private Plan
Change was approved in May
2022, paving the way for the
creation of a major Green Star
Community. The successful
application will unlock
development at our 53-hectare
site, which is set to be the location
for the new Drury Town Centre.
We intend to create a thriving
mixed-use asset that will become
a hub for the 60,000 people who
are expected to move into the
area over the next 25 years. Drury
will be the third Auckland
Metropolitan Centre zoned
location in our portfolio (out of 11),
alongside Sylvia Park and New
Lynn, offering an exciting range of
future possibilities. An earthworks
consent has been issued by
Auckland Council and this work is
now underway. To read more
about our development at Drury
go to page 18 of this report.
We’re focused on proceeding
with the Drury and LynnMall
developments at the optimum
time and in the case of each
project, will ensure input costs,
market conditions and the
macroeconomic climate are
conducive, before moving
forward with construction.
Taking a long-term view
Over the past two years we’ve
made a range of important
decisions about how best to keep
our people safe, support our
tenants, and complete
developments in a disrupted
environment. Although our
resilience has been tested, from
the outset we have been clear that
the disruptions caused by the
pandemic would not distract us
from delivering on our strategy.
Staying focused on what we can
control, achieve and influence
has enabled us to take a long-
term view of our sector – and
our place in it.
That’s crucial given current
conditions. The impact of
Omicron, labour shortages, rising
inflation, and continued supply
chain disruptions have all created
a climate of volatility that unsettles
markets and makes economic
forecasting difficult. We are taking
current disruption into account,
but the strength of our strategy is
that it is built on certainties – the
first of which, as the Chair
outlined, lies in our large strategic
landholding.
There is also certainty in our
transition from a retail-oriented
property owner and developer to
our ever-increasing focus on
mixed-use community creation.
As Sylvia Park demonstrates,
intensifying our strategic assets to
include retail, office and residential
helps drive valuation uplift across
the entire site, while promoting a
more diversified revenue stream
and faster rate of growth.
Mixed-use also helps reduce
operational risk by encouraging
a broad customer base.
Kiwi Property counts a wide
range of government departments,
banks, law firms and financial
services companies, as well
as large format and specialty
retailers, among its line-up of
tenants. Across our portfolio,
over half our income comes
from essential services and
everyday essentials, such
as supermarkets, pharmacies
and department stores,
providing substantial income
resilience, even during COVID-19
lockdown periods.
Total rental growth on new leases and rent reviews
+
4.2
%
Kiwi Property
Annual Report 2022
12
Kiwi Property
Annual Report 2022
12

Stepping up on
sustainability
Sustainability has been at the
heart of our business for 20 years
and today, our Environmental,
Social and Governance (ESG)
performance is amongst the
best in our sector. Full details of
the Company’s delivery against
our Sustainability Strategy are
available in our standalone 2022
Sustainability Report, available on
our website. The comprehensive
document outlines our ESG
performance over the past 12
months, including our
achievement against the three
pillars of our strategy: Places,
People and Partnerships, and
the actions we’re taking to
mitigate climate risk.
This year, we continued to
make significant progress
against our aspirational goal to
become net carbon negative in
our operations by 2030 and have
now reduced our greenhouse
gas emissions by 60% compared
to our 2012 baseline.
Reaching the target won’t be easy,
but it’s the right thing to do for both
our current and next generation
of stakeholders. We’ve recently
announced plans to create
New Zealand’s largest rooftop
solar power installation at Sylvia
Park, capable of producing
enough electricity annually to
power the average household for
over 200 years or charge over
60,000 electric vehicles.
We believe strongly that we will
only achieve enduring success if
the communities we operate in do
as well. To this end, we’ve recently
begun working with the Mental
Health Foundation and look
forward to collaborating on
initiatives to improve Kiwis’
wellbeing, including bringing the
highly regarded Pink Shirt Day
campaign to life at our assets.
In July 2021, we also undertook
a successful $150m Green Bond
issue. The oversubscribed
offer highlights the growth of
sustainable finance and the level of
market support for Kiwi Property’s
sustainability performance, both
of which place the Company in
good stead for future debt raising
activity, if required.
Subsequent to balance date,
we also further diversified our
debt facilities by introducing
MUFG into our banking panel,
providing access to an additional
$100 million of debt facilities on
three, four and five year terms.
Outlook
Kiwi Property’s robust financial
performance and strong delivery
against strategy in FY22 have set
the platform for an exciting year
ahead. We have made significant
strides on our ambition to intensify
our mixed-use assets and bring
build-to-rent to life, starting at
Sylvia Park.
In FY23, we will look to broaden
that focus to Drury and LynnMall,
as well as striving to ignite the
second pillar of our strategy –
growing with third-party capital.
While COVID-19 may continue to
be a consideration going forward,
we are squarely looking to the
future, with a commitment to
creating value for our shareholders
and other stakeholders, and a
focus on creating connected
communities.
Ngā mihi,
Clive Mackenzie
Chief Executive Officer
Total sales growth
+
6.7
%
Kiwi Property
Annual Report 2022
13
Kiwi Property
Annual Report 2022
13

A sense of place
gains pace
at Sylvia Park
Sylvia Park Shopping Centre
Kiwi Property
Annual Report 2022
14
Kiwi Property
Annual Report 2022
14
Kiwi Property
Annual Report 2022
14

Sylvia Park Precinct
Vital Stats
$1.5b value
34-hectare landholding
178,999sqm net
lettable area
282 tenants
295 build-to-rent
apartments in
development
7,540sqm of
office space under
construction
Kiwi Property
Annual Report 2022
15
Kiwi Property
Annual Report 2022
15

Sylvia Park’s evolution
into a world-class
mixed-use community
is picking up pace.
Following the successful
completion of the shopping
centre’s 20,000 square metre
Level 1 expansion, the next phase
of Sylvia Park’s ambitious
development programme has
begun, marking the start of what
could be one of the most
transformative periods in the
asset’s history. We’re excited to be
moving forward with plans to
evolve Sylvia Park from a retail-
centric destination into a thriving,
urban village where people can
live, work, shop and play.
In late 2021, construction of
New Zealand’s first major BTR
development started at Lynton
Road, near the site’s northern
boundary. The $221 million
project will feature 295 residential
apartments spread across three
separate buildings, varying in scale
up to 12 storeys high. Based on the
current site masterplan, there’s
potential for us to build as many
as 1,200 BTR apartments
at Sylvia Park over the next 10
years, establishing Kiwi Property
as a leader in this exciting new
asset class.
BTR is set to challenge renting’s
status quo in this country, putting
more control and certainty in
residents’ hands. Our residential
proposition will feature flexible
long-term leases, stable rents,
professional on-site management
and service standards on par
with many hotel complexes.
The development will include
an array of amenities, such as a
rooftop terrace and barbeque
area, gym, co-working spaces
and residents’ lounge, all designed
to foster a sense of community
and connection.
Elsewhere at Sylvia Park, we’ve
begun development of an
attractive new office building at
3 Te Kehu Way, which aims to
capitalise on the success of the
ANZ Raranga tower and marks the
next step in our journey to create a
dynamic commercial hub at the
precinct. The six-level building will
be ideally suited to the increasing
number of tenants seeking hub
and spoke office networks.
Featuring outstanding amenities,
flexible working configurations,
infrastructure geared to the
specialist requirements of medical
services and targeting a 6 Green
Star rating, 3 Te Kehu Way is an
exciting proposition.
In September 2021, we extended
our landholding at Sylvia Park with
the purchase of a 7,144 square
metre site directly adjacent to
Sylvia Park Lifestyle occupied by
the City Impact Church. The
acquisition provides a range of
future development opportunities
that take advantage of the
location’s sunny northern slope
and sea views. Choices could
potentially include BTR
apartments, office towers or
additional large format retail.
“ As both the owner and developer
of Sylvia Park, we’re in a powerful
position to ensure each new project
aligns to and enhances our vision
for the precinct, as well as optimising
the asset’s long-term income
generation potential.”
Kiwi Property
Annual Report 2022
16
Kiwi Property
Annual Report 2022
16

As both the owner and developer
of Sylvia Park, we’re in a powerful
position to ensure each new
project aligns to and enhances
our vision for the precinct, as well
as optimising the asset’s long-term
income generation potential.
It also enables us to prioritise
outstanding placemaking and
the adoption of international
best practice in terms of asset
design and operations, helping to
create an enduring asset that will
deliver value for our customers,
tenants, and shareholders for years
to come.
This approach is also important
when it comes to working with
multinational retailers considering
opening a store in New Zealand.
An example is the recent
conditional agreement to sell IKEA
3.2 hectares of land at Sylvia Park,
marking an important step
towards our ambition for the
iconic retailer to have a presence
on the site. The deal paves the
way for the creation of a
complementary 6,430 square
metre large format retail centre
and home and living precinct.
Maintaining Sylvia Park’s
accessibility will continue to be a
priority for Kiwi Property in the
years ahead. The asset is
strategically connected to
Auckland’s Southern Motorway,
and is well-served by around
5,000 free carparks. In addition,
the centre features a bus
interchange and train station,
offering direct public transport
connectivity to the Auckland CBD
that departs approximately every
10 minutes in peak times.
ANZ Raranga, Sylvia Park
Sylvia Park Shopping Centre
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Kiwi Property
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Creating
a major
Green Star
community
at Drury
Drury Town Plaza. Artist’s impression
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Kiwi Property
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“ Earthworks began at
Kiwi Property’s Drury
development in May 2022,
setting the stage for our
plans to create a major
Green Star Community.
Drury is poised to set a
new standard for large-
scale construction projects,
bringing together the best
of sustainability, transit-
oriented development and
urban design.”
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Kiwi Property
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Sustainability has been at the heart
of our business for 20 years and in
that time we’ve achieved a number
of exciting milestones, including
receiving an A rating from the
Carbon Disclosure Project in
2020. We’re proud to again be
leading from the front on
sustainability, this time at Drury,
where we’re planning to create a
major Green Star Community.
Only developments that meet the
highest standards of liveability,
economic prosperity,
environmental performance and
innovation are awarded this
standard. Achieving the Green Star
Community rating isn’t just about
our commitment to doing well by
doing good though – it’s a signal
to the town’s future residents that
it has been built with the next
generation in mind.
According to the Drury-Opaheke
Structure Plan, the region
is ultimately expected to
accommodate 25,000 new
homes and a population of 60,000
people, making it around the same
size as Napier. Drury’s strategic
importance is highlighted by the
Government’s commitment of
approximately $2.8 billion to fund
infrastructure in the area, including
the extension of State Highway 1
from Papakura to Drury and the
enhancement of the rail corridor.
Kiwi Property’s 53-hectare site at
Drury has been designated as the
location of the future town centre.
Our ownership of this large
strategic landholding puts us in
a unique position to shape the
character, quality and design of
Drury’s urban heart, enabling
the creation of a thriving mixed-
use asset. Great placemaking
will sit at the core of the
development, which will feature
around 10 hectares of new parks,
cycleways and walking paths, all
designed to foster a vibrant and
connected community.
Our landholding sits adjacent to
the site of the proposed Drury
Central train station and electrified
rail link, which will serve the local
area and support the creation of a
modern transit-oriented
development. With Drury’s central
plaza less than a five minute walk
from the station, around half of
those commuters to the city are
ultimately expected to use public
transport, significantly reducing
the need for private vehicle use.
This approach will help keep the
town congestion free, while also
reducing its emissions profile.
By building Drury from the grass
roots, we’re able to incorporate
the sustainable qualities one would
expect from a Green Star
community in our development,
such as stormwater recycling and
rainwater harvesting. We’re also
planning to make extensive use of
solar energy and plant thousands
of native trees as part of the
Hingaia Stream restoration project.
All our buildings will target a
minimum five Green Star rating.
Drury will be more than an
attractive place to live and play,
with potential to become a
significant economic hub between
Auckland and Hamilton. The
developments being undertaken
by Kiwi Property, Oyster Capital
and Fulton Hogan are expected
“ Drury represents a rare
opportunity to create
a community from the
ground up. The location
has been identified as one
of just five urban growth
areas in the region and
is ultimately expected to
feature 25,000 new homes
and a population of 60,000
people, making it around
the same size as Napier.”
Kiwi Property
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Kiwi Property
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to create around 7,000 jobs
between them, while the industrial
park being built at Drury South
is set to generate additional
employment opportunities.
A range of office buildings are
planned for Kiwi Property’s town
centre, to be built in line with
population growth, while a
possible future regional medical
facility would stimulate additional
growth at Drury in the years ahead.
The green-light to begin work at
Drury follows three years of
intense preparation and effort to
obtain approval for Kiwi Property’s
Private Plan Change application.
Our success in this process
highlights the quality of the
proposed development and the
scale of its anticipated benefit to
the region. The Stage 1 earthworks
now underway are expected to be
finished by late 2023 or early
2024, with commercial, large
format retail and residential homes
set to follow in line with demand,
funding and supportive conditions.
Drury Station Plaza. Artist’s impression
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Kiwi Property
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Getting on-board the
flight to quality in
commercial property
While COVID-19 impacted many parts
of New Zealand’s economy in FY22 it
also prompted a flight to quality in the
property sector, as tenants sought out
the best offices and most productive
retail space. Fortunately, quality is one of
the hallmarks of our property portfolio.
Omicron saw many people work
from home over recent months,
however high-quality, amenity-rich
CBD office buildings have
continued to attract strong
demand among corporate and
public sector tenants. In parallel,
hub and spoke office networks
have risen in popularity as
employers respond to their
workers’ calls for more flexibility
and reduced travel times. Leading
shopping centres such as Sylvia
Park bounced back quickly post
lockdown, fuelled by pent-up retail
demand, while large format retail
came through COVID as one of
the asset classes more resistant to
pandemic related headwinds.
Kiwi Property’s strategy, which is
based on intensifying our mixed-
use assets, growing with third
party capital and empowering
the success of our customers,
has positioned us well through
the pandemic. Our investment
portfolio maintained an occupancy
rate of 99.8% in FY22, while rental
uplift of 4.2% was achieved on
new leases and rent reviews,
continuing their upward trajectory
from recent years. Premium office
assets such as the Vero Centre
highlighted the flight to quality
accelerated by COVID-19, with
the landmark building achieving
record rents.
The Company’s diversified
portfolio and focus on reducing
our retail exposure helped spread
our COVID risk, however we
weren’t entirely sheltered from the
pandemic. We provided just over
$17 million of rent relief to our
hardest hit tenants in FY22,
sharing a fair proportion of
COVID-19’s financial impact.
Offering these abatements was
the right thing to do. Each of
our customers is a vital part
of Kiwi Property’s stakeholder
ecosystem and an important cog
in the wider economy, providing
direct and indirect employment.
Supporting our tenants helped
protect their businesses,
safeguard jobs and maintain
productive assets
Kiwi Property
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Kiwi Property
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Kiwi Property
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Meeting the need
Regardless of restrictions or
lockdowns, everyone needs the
basics. With customer shopping
behaviour often driven more by
needs than wants, during the
pandemic, the strong retail centres
capable of supplying everything
from shoes to groceries, and
medicine to microwaves, often
had the edge because of their
scale, safe environment and
easy access.
Shopping patterns continued to
evolve in FY22, with customers
often researching goods online
before heading out with a list to
shop in person. While online sales
were strong during lockdowns,
supply chain bottlenecks and a
strong desire among Kiwis to get
back to ‘normal’ saw a surge in
sales at many physical stores
once those restrictions eased.
Even where Omicron slowed foot
traffic to some centres, consumers
are regaining the confidence to
return to shopping as a social
activity. This will benefit food and
beverage tenants, in particular,
whose recovery was slowed by
COVID-19 restrictions.
Going forward, we expect retail to
become an increasingly omni-
channel experience, with online
and offline shopping fulfilling
distinct but equally important roles
in a customer’s sales journey –
from awareness through to action.
Kiwi Property is well equipped to
respond to this trend.
The Brickworks, LynnMall
Kiwi Property
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Kiwi Property
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Like attracts like
The flight to quality in retail
property was highlighted by the
number of prominent international
chains that launched new stores at
Kiwi Property centres over the
past year, despite the logistical
hurdles created by COVID-19.
Nowhere has this been more
apparent than at Sylvia Park,
where iconic retailers, Culture
Kings and JD Sports, opened
flagship locations, creating the
core of an exciting new urban and
athleisure precinct. In 2021, around
13%
1
of all spending at Sylvia Park
was by visitors to the city,
highlighting its position as a tourism
attraction for both inbound and
domestic travellers. As the country
continues to put Omicron behind
it, we look forward to this number
continuing to grow, as even more
Kiwis take the opportunity to
come to the country’s favourite
shopping centre.
The new world of work
Quality has also proved to be a
differentiator in a market where
some commentators initially
questioned the role of the office in
a post-COVID world. While the
pandemic has seen thousands
working from home, after more
than two years making do in a
spare bedroom, many people are
eagerly looking forward to getting
back to the office. Hybrid working
models are evolving to deliver the
best of remote working, overlaid
with the culture and collaboration
benefits that can only be found in
a physical environment.
In the CBD, offices with high
quality amenities are still
attracting large corporates,
law firms and accounting
practices, while Government
departments are setting
increasingly high sustainability
standards. Kiwi Property’s office
portfolio delivers on these fronts,
promoting strong continued
demand from private and public
sector tenants alike.
One of the more interesting trends
accelerated by COVID-19 has
been the rise of hub and spoke
office configurations, where
businesses are augmenting their
inner-city locations with smaller
suburban offices. This approach
helps optimise lease costs, while
enabling employees to work
closer to home or to be more
convenient for the customers and
communities they serve. We’re in a
strong position to cater to hub and
spoke tenants in the Auckland
market, in particular, thanks to our
ability to offer office space in the
inner city as well as ANZ Raranga
at Sylvia Park, with 3 Te Kehu Way
set to follow.
In the CBD, offices with
high quality amenities
are still attracting large
corporates, law firms and
accounting practices, while
Government departments
are setting increasingly high
sustainability standards.
1. Source: Marketview, Urbis.
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Kiwi Property
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Vero Centre Lobby
Kiwi Property
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Kiwi Property
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25

Mark Ford, Chair
Mark is a professional director
based in Australia with extensive
property industry experience.
Mark holds the roles of non-
executive director for Dexus
Property Group and non-executive
director for the manager for China
Commercial Trust and Prime
Property Fund Asia GP Pte. Mark’s
previous directorships include
Cbus Property Pty Limited (Chair),
Comrealty Limited, South East
Asia Property Company (Chair),
Property Council of Australia,
Deutsche Asset Management
Australia and Trafalgar Corporate
Group Limited.
Board membership
Non-executive Chair
Other committees
Member of the Audit and Risk
Committee, ESG Committee and
the Remuneration and
Nominations Committee
Date appointed
May 2011
Date last re-elected
June 2020
Chris Aiken
Chris is an Auckland-based
professional director, with a wealth
of property experience spanning
both the public and private
sectors. He is Chair of the Kainga
Ora Construction Programme
Assurance Panel and was
previously a director of both
Metlifecare and Piritahi. Prior to
commencing his governance
career, Chris was Chief Executive
of HLC, a subsidiary of Housing
New Zealand, responsible for
developing large urban
communities, including
Hobsonville Point.
Board membership
Non-executive member
Other committees
Member of the Remuneration and
Nominations Committee
Date appointed
June 2021
Mary Jane Daly
Mary Jane is an Auckland-based
professional director with
significant banking, finance and
risk experience. She is the Chair of
the Earthquake Commission and a
director of both Kiwibank and the
Fonterra Shareholders Fund. Mary
Jane is a former director of
Auckland Transport, Cigna Life
Insurance New Zealand, Onepath
Life, Airways Corporation and the
NZ Green Building Council.
Board membership
Non-executive member
Other committees
Chair of the Audit and Risk
Committee
Date appointed
September 2014
Date last re-elected
June 2019
Board
Kiwi Property
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Kiwi Property
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Jane Freeman
Jane is an Auckland-based
professional director who has
extensive retail experience and
expertise in the field of customer
driven technology. She was
previously a director of Foodstuffs
North Island, ASB Bank, Delegat
Group and Air New Zealand.
Prior to her governance career,
Jane held a number of senior
general management roles in
major New Zealand businesses
including Telecom, ASB Bank
and Bank Direct.
Board membership
Non-executive member
Other committees
Chair of the Remuneration and
Nominations Committee
Date appointed
August 2014
Date last re-elected
July 2021
Mark Powell
Mark is a Trans-Tasman
professional director based in
Auckland and Melbourne. He is
the former Chief Executive of The
Warehouse Group and has
extensive experience in strategy,
transformation, mergers and
acquisitions, and joint venture
management. Mark is a current
director of ASX-listed companies
JB Hi-Fi Group and Bapcor,
as well as Australia’s third largest
private business 7-Eleven Australia.
He previously sat on the board
of Stihl Shop New Zealand and
Trinity Lands.
Board membership
Non-executive member
Other committees
Chair of the ESG Committee
Date appointed
October 2017
Date last re-elected
July 2021
Simon Shakesheff
Simon is an Australian-based
professional director, with
significant property and finance
experience covering strategy,
mergers and acquisitions, and
debt and equity finance. He is a
director of Cbus Property,
Assembly Funds Management,
SGCH (formerly St George
Community Housing) and Chair of
the Daily Needs Real Estate
Investment Trust. Simon previously
held a number of executive roles
at Stockland, Bank of America
Merrill Lynch, UBS, J.P. Morgan
and Macquarie Bank.
Board membership
Non-executive member
Other committees
Member of the ESG Committee
and the ARC Committee
Date appointed
November 2019
Date last re-elected
June 2020
Kiwi Property
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Kiwi Property
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Angela Henderson
GM DIGITAL
Angela leads Kiwi Property’s digital
and information technology teams
and has overall responsibility for
the Company’s digital
transformation strategy. Angela
joined Kiwi Property in 2021 and
prior to this was GM Digital
Strategy and Transformation, and
Innovation at Air NZ. She has a
wealth of experience leading
innovative technology teams, and
has held senior digital roles at high
profile New Zealand organisations
including Westpac and Watercare.
Aubrey Cheng
GM INCOME AND LEASING
Aubrey leads our income and
leasing team and is responsible for
all property-related income, and
new revenue initiatives at both our
existing assets and development
projects. He is charged with
developing and maintaining our key
client relationships, and driving
leasing activity across our mixed-
use, office, retail, activate and
industrial portfolios. Aubrey has
20 years’ property experience and
prior to joining Kiwi Property was a
founding Director of Match Realty.
Clive Mackenzie
CHIEF EXECUTIVE OFFICER
Clive is responsible for the
leadership, strategic direction and
management of the Company. He
has been involved with property
and finance for over 20 years and
commenced as Kiwi Property’s
Chief Executive Officer in July
2018. Clive was previously Senior
Vice President – Development,
East Coast for Westfield USA,
where he was involved in the
creation and implementation of
transformational strategies to
evolve, strengthen and develop the
company’s real estate portfolio.
Executive
Te a m
Jo Harris
GM PEOPLE
Jo Harris leads Kiwi Property’s
people and culture function, with a
focus on building an engaged and
high performing organisation. Jo
joined the company from Waka
Kotahi where she worked as
Portfolio Change Lead, with
responsibility for leading
organisational wide culture and
transformation initiatives. Prior to
this, Jo held a variety of senior HR
roles at large organisations in
New Zealand and offshore,
including Air New Zealand,
Vodafone Australia and AAPT.
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Kiwi Property
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28

Gavin Parker
CHIEF FINANCIAL OFFICER
Gavin leads the Company’s finance
and legal functions, as well as
playing a key role in the
development and execution of the
Company’s corporate strategy. He
has more than 25 years’ experience
in property investment, funds
management, capital management
and investor relations. Gavin joined
Kiwi Property in 2002 and has held
a number of executive positions at
the Company in the ensuing
period, including GM Funds
Management and Capital Markets,
and Chief Operating Officer.
Ian Passau
GM DEVELOPMENT
Ian leads our development team
and is responsible for all
development activities and major
capital works programmes. He has
30 years’ experience in property
design, construction and
development across a range of
asset classes. Prior to joining us, Ian
held senior positions in Foodstuffs
North Island, Auckland Airport and
Arrow International. He is a past
president of the Waikato Branch of
the Property Council of
New Zealand and past member of
the Auckland Urban Design Panel.
Linda Trainer
GM ASSET MANAGEMENT
Linda has overall responsibility
for the strategic and operational
aspects across the asset classes,
with a view to optimising their
investment performance. She has
more than 20 years’ experience
in property, retail, management
and marketing. Prior to joining
Kiwi Property in April 2018, she
was most recently New Zealand
Regional Manager at Scentre Group.
Steve Penney
GM FUNDS MANAGEMENT
Steve is responsible for
Kiwi Property’s funds management,
capital transactions, joint venture
and valuations activity, including
leadership and delivery of the
Company’s investment strategy. He
has more than 20 years’ finance and
investment experience, and prior to
joining Kiwi Property was General
Manager, Investment, at Stride
Property Group. Before that he was
Investment Director and Partner at
H.R.L. Morrison & Co Limited and
Associate Director at PwC.
Kiwi Property
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Kiwi Property
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Financials
For the year ended
31 March 2022
Kiwi Property
Annual Report 2022
30

Sylvia Park 10 year vision. Artist’s impression
Kiwi Property
Annual Report 2022
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Kiwi Property
Annual Report 2022
31

Five-year summary
Kiwi Property
Annual Report 2022
32
Financial performance
F O R T H E Y E A R E N D E D 3 1 M A R C H 2 0 2 2
2022
$m
2021
$m
2020
$m
2019
$m
2018
$m
Property revenue and management fees
246.8
234.0243.6237.5251.0
Total income246.8
234.0243.6237.5251.0
Direct property expenses
(58.0)
(58.9)(54.5)(54.6)(57.2)
Employment and administration expenses
(25.8)
(23.1)(22.6)(20.9)(20.5)
Total expenses(83.8)
(82.0)(77.1)(75.5)(77.7)
Profit before net finance expenses, other income/
(expenses) and tax163.0
152.0166.5162.0173.3
Interest income
0.2
0.30.20.20.3
Interest and finance charges
(38.4)
(36.0)(37.0)(37.7)(42.6)
Net fair value gain/(loss) on interest rate derivatives
18.5
6.3(9.9)(11.0)(2.4)
Net finance expenses(19.7)
(29.4)(46.7)(48.5)(44.7)
Profit before other income/(expenses) and tax143.3
122.6119.8113.5128.6
Net fair value gain/(loss) on investment properties
120.5
99.8(289.9)47.726.5
(Loss)/gain on disposal of investment properties
(3.1)
--0.9(7.1)
Other income/(expenses)117.4
99.8(289.9)48.619.4
Profit/(loss) before income tax260.7
222.4(170.1)162.1148.0
Income tax expense
(36.4)
(25.9)(16.6)(24.0)(27.9)
Profit/(loss) after income tax
1
224.3
196.5(186.7)138.1120.1
1The reported profit has been prepared in accordance with New Zealand Generally Accepted Accounting Practice (GAAP) and complies with New Zealand Equivalents to
International Financial Reporting Standards. The reported profit information has been extracted from the annual consolidated financial statements which have been the
subject of an audit pursuant to New Zealand Auditing Standards issued by the External Reporting Board.
Reconciliation of profit/(loss) before tax to operating profit before tax
F O R T H E Y E A R E N D E D 3 1 M A R C H 2 0 2 2
2022
$m
2021
$m
2020
$m
2019
$m
2018
$m
Profit/(loss) before income tax260.7
222.4(170.1)162.1148.0
Adjusted for:
Net fair value (gain)/loss on investment properties
(120.5)
(99.8)289.9(47.7)(26.5)
Loss/(gain) on disposal of investment properties
3.1
--(0.9)7.1
Net fair value (gain)/loss on interest rate derivatives
(18.5)
(6.3)9.911.02.4
Operating profit before income tax
1
124.8
116.3129.7124.5131.0
1Operating profit before income tax is an alternative non-GAAP performance measure used by Kiwi Property to assist investors in assessing the Company’s performance for
the year by adjusting for a number of non-operating items. Operating
profit before income tax does not have a standard meaning prescribed by GAAP and therefore may
not be comparable to information presented by other entities. The reported operating profit before income tax has been extracted from the Company’s annual consolidated
financial statements which have been the subject of an audit pursuant to New Zealand Auditing Standards issued by the External Reporting Board.

Five-year summary (continued)
Kiwi Property
Annual Report 2022
33
Adjusted funds from operations
F O R T H E Y E A R E N D E D 3 1 M A R C H 2 0 2 2
2022
$m
2021
$m
2020
$m
2019
$m
2018
$m
Profit/(loss) after income tax224.3
196.5(186.7)138.1120.1
Adjusted for:
Net fair value (gain)/loss on investment properties
(120.5)
(99.8)289.9(47.7)(26.5)
Loss/(gain) on disposal of investment properties
3.1
--(0.9)7.1
Net fair value (gain)/loss on interest rate derivatives
(18.5)
(6.3)9.911.02.4
Reversal of lease liability movement in investment properties
(0.1)
(0.1)(0.1)--
Straight-lining of fixed rental increases
(3.0)
-(1.2)(2.0)(2.1)
Amortisation of tenant incentives and leasing fees
8.3
7.27.17.07.8
Amortisation of rent abatements (COVID-19)
4.8
5.9---
Rent deferrals received/(rent deferrals) (COVID-19)
1.5
(1.7)---
Depreciation recovered on disposal of investment properties
3.6
--4.5-
Share-based payment expense
1
1.2
----
Depreciation of property, plant and equipment
1
1.3
----
Deferred tax expense/(benefit)
13.9
11.3(5.3)(3.1)2.5
Funds from operations
2
119.9
113.0113.6106.9111.3
Maintenance capital expenditure
(3.0)
(5.3)(7.5)(6.9)(4.7)
Capitalised tenant incentives and leasing fees
(3.4)
(3.1)(3.9)(8.4)(11.9)
Capitalised rent abatements (COVID-19)
(13.1)
(15.2)---
Adjusted funds from operations
3
100.4
89.4102.291.694.7
1Represents non-cash expenses that are now included in the determination of funds from operations. No adjustment has been made in respect of prior years.
2Funds from operations (FFO) is an alternative non-GAAP performance measure used by Kiwi Property to assist investors in assessing the Company’s underlying operating
performance. FFO is a measure commonly used by real estate entities to describe their underlying and recurring earnings from operations. FFO does not have a standard
meaning prescribed by GAAP and therefore may not be comparable to information presented by other entities. FFO is calculated by Kiwi Property in accordance with the
Voluntary Best Practice Guidelines issued by the Property Council of Australia (the Guidelines). The reported FFO information has been extracted from the Company’s annual
consolidated financial statements which have been the subject of an audit pursuant to New Zealand Auditing Standards issued by the External Reporting Board.
3Adjusted funds from operations (AFFO) is an alternative non-GAAP performance measure used by Kiwi Property. AFFO is a measure commonly used by real estate entities
to describe their underlying and recurring cash flows from operations. Broadly, AFFO adjusts FFO by deducting the cost of lease incentives, leasing fees, rental abatements
and annual maintenance capital expenditure for sustaining and maintaining existing space. AFFO does not have a standard meaning prescribed by GAAP and therefore may
not be comparable to information presented by other entities. AFFO is calculated by Kiwi Property in accordance with the Voluntary Best Practice Guidelines issued by the
Property Council of Australia (the Guidelines). The reported AFFO information has been extracted from the Company’s annual consolidated financial statements which have
been the subject of an audit pursuant to New Zealand Auditing Standards issued by the External Reporting Board.

Five-year summary (continued)
Kiwi Property
Annual Report 2022
34
Dividends
F O R T H E Y E A R E N D E D 3 1 M A R C H 2 0 2 2
2022
$m
2021
$m
2020
$m
2019
$m
2018
$m
Funds from operations
119.9
113.0113.6106.9111.3
Adjusted funds from operations
100.4
89.4N/AN/AN/A
Less amount retained
(12.5)
(8.6)(58.3)(7.4)(14.1)
Cash dividend87.9
80.855.399.597.2
Payout ratio
1
88%
90%49%93%87%
cps
cpscpscpscps
Cash dividend
5.60
5.153.536.956.85
Imputation credits
1.43
1.360.792.001.89
Gross dividend7.03
6.514.328.958.74
1With effect from 1 April 2020, the Group revised its dividend policy to be based on adjusted funds from operations (previously funds from operations).
Financial position
A S A T 3 1 M A R C H 2 0 2 2
2022
$m
2021
$m
2020
$m
2019
$m
2018
$m
Assets
Investment properties
1
3,567.6
3,331.53,114.73,207.43,052.0
Cash and cash equivalents
11.6
16.021.39.910.7
Other assets
15.3
18.820.419.118.6
Total assets3,594.5
3,366.33,156.43,236.43,081.3
Liabilities
Interest bearing liabilities
1,135.9
1,049.91,009.91,001.7913.5
Deferred tax liabilities
108.5
94.583.288.591.7
Other liabilities
78.5
87.191.895.382.0
Total liabilities1,322.9
1,231.51,184.91,185.51,087.2
Equity
Share capital
1,663.5
1,661.91,661.01,449.61,432.9
Share-based payments reserve
2.0
1.91.60.60.4
Retained earnings
606.1
471.0308.9600.7560.8
Total equity2,271.6
2,134.81,971.52,050.91,994.1
Total equity and liabilities3,594.5
3,366.33,156.43,236.43,081.3
Gearing ratio (finance debt / total tangible assets)
31.6%
31.2%32.0%31.0%29.7%
Net tangible assets per share
$1.45
$1.36$1.26$1.43$1.40
1Includes investment properties classified as held for sale as at 31 March 2022 and 31 March 2021.

Five-year summary (continued)
Kiwi Property
Annual Report 2022
35
Property metrics
A S A T 3 1 M A R C H 2 0 2 2
2022
2021202020192018
Number of core properties
8
8121213
Net lettable area (sqm)
400,159
341,914435,528436,870451,230
Occupancy
99.8%
99.7%99.5%99.3%99.6%
Weighted average lease expiry (years)
4.9
5.34.95.25.3
Weighted average capitalisation rate
5.23%
5.49%6.11%5.99%6.11%
Property metrics exclude The Plaza, Northlands, Westgate Lifestyle and Centre Place North which have been reclassified to either
'investment properties held for sale' or 'other properties' as at 31 March 2022 and 31 March 2021.
Property metrics as at 31 March 2022 include the adjoining properties located at Sylvia Park. No adjustment has been made in respect
of prior years.
Interpretation
The following commentary is provided to assist with the
interpretation of the five-year summary:
2022
•
Commenced development of build-to-rent scheme at
Sylvia Park.
•
Commenced development of 3 Te Kehu Way at Sylvia Park.
•
Acquired additional properties adjacent to Sylvia Park,
Auckland and Drury, South Auckland, for $38.8 million.
•
Entered into a 50:50 joint venture with Tainui Group Holdings
in respect of Centre Place North and adjoining properties.
•
Provided rental abatements of $17.4 million as a result of the
COVID-19 pandemic.
•
A $150 million bond issue was completed (2028 expiry)
following the maturity of the $125 million bond in
August 2021.
•
The Plaza was reclassified from 'investment properties held
for sale' to 'other properties'.
2021
•
Concluded development of Sylvia Park Level 1.
•
Acquired additional properties adjacent to Sylvia Park,
Auckland and Drury, South Auckland, for $4.0 million.
•
Provided rental abatements of $19.5 million as a result of the
COVID-19 pandemic.
•
The Plaza, Northlands and 50% of Centre Place North were
reclassified as 'investment properties held for sale'. Westgate
Lifestyle and 50% of Centre Place North were reclassified as
'other properties'.
2020
•
Raised $193.7 million (net of issue costs) of new equity
through a placement and retail entitlement offer.
•
Acquired additional properties adjacent to Sylvia Park,
Auckland, for $25.5 million.
•
COVID-19 declared a global pandemic by the World Health
Organisation in March 2020, impacting investment property
valuations at balance date and causing the Board to cancel
the final dividend for the year ended 31 March 2020.
2019
•
Concluded development of an office tower (ANZ Raranga)
and the central carpark at Sylvia Park, Auckland, and
Langdons Quarter at Northlands, Christchurch.
•
Acquired property adjacent to Sylvia Park, Auckland, for
$25 million.
•
Acquired a further 8.6 hectares of land at Drury, South
Auckland, for $9.1 million.
•
North City, Porirua, was sold.
•
A $100 million bond issue was completed (2025 expiry).
2018
•
Acquired 30.6 hectares of land at Drury, South Auckland, for
$32.7 million.
•
Acquired property adjacent to Sylvia Park, Auckland, for
$27.1 million.
•
1 for 11 entitlement offer completed, raising $157 million (net
of costs).
•
The Majestic Centre, Wellington, was sold.
•
A $125 million bond issue was completed (2024 expiry).

Consolidated financial statements
F O R T H E Y E A R E N D E D 3 1 M A R C H 2 0 2 2
Kiwi Property
Annual Report 2022
36
Consolidated statement of comprehensive income
Pg 37
Consolidated statement of changes in equity
Pg 38
Consolidated statement of financial position
Pg 39
Consolidated statement of cash flows
Pg 40
Notes to the consolidated financial statements
Pg 42
Independent auditor's report
Pg 81
Corporate governance
Pg 88
Remuneration report
Pg 90
Other investor information
Pg 102
Shareholder statistics
Pg 105
Bondholder statistics
Pg 106
Substantial product holders
Pg 108

Consolidated statement
of comprehensive income
F O R T H E Y E A R E N D E D 3 1 M A R C H 2 0 2 2
Kiwi Property
Annual Report 2022
37
Note
2022
$000
2021
$000
Income
Property revenue2.1
245,070
232,436
Property management income
1,759
1,547
Total income246,829
233,983
Expenses
Direct property expenses
(57,953)
(58,859)
Employment and administration expenses2.2
(25,828)
(23,087)
Total expenses(83,781)
(81,946)
Profit before net finance expenses, other income/(expenses) and income tax163,048
152,037
Interest income
152
274
Interest and finance charges2.2
(38,397)
(35,959)
Net fair value gain on interest rate derivatives3.4.2
18,496
6,305
Net finance expenses(19,749)
(29,380)
Profit before other income/(expenses) and income tax143,299
122,657
Net fair value gain on investment properties3.2
120,473
99,756
Loss on disposal of investment properties
(3,124)
-
Other income/(expenses)117,349
99,756
Profit before income tax260,648
222,413
Income tax expense2.3
(36,375)
(25,884)
Profit and total comprehensive income after income tax attributable
to shareholders224,273
196,529
Basic and diluted earnings per share (cents)3.6.3
14.29
12.52
The consolidated statement of comprehensive income should be read in conjunction with the accompanying notes.

Consolidated statement
of changes in equity
F O R T H E Y E A R E N D E D 3 1 M A R C H 2 0 2 2
Kiwi Property
Annual Report 2022
38
Note
Share
capital
$000
Share-based
payments
reserve
$000
Retained
earnings
$000
Total
equity
$000
Balance at 1 April 20201,660,9611,600308,9441,971,505
Profit after income tax--196,529196,529
Dividends paid3.6.2--(34,516)(34,516)
Long-term incentive plan3.6.4883300231,206
Employee share ownership plan72(10)-62
Balance at 31 March 2021
1,661,9161,890470,9802,134,786
Balance at 1 April 2021
1,661,9161,890470,9802,134,786
Profit after income tax
--224,273224,273
Dividends paid3.6.2
--(89,440)(89,440)
Long-term incentive plan3.6.4
1,519883141,921
Employee share ownership plan
649-73
Balance at 31 March 20221,663,4991,987606,1272,271,613
The consolidated statement of changes in equity should be read in conjunction with the accompanying notes.

Consolidated statement
of financial position
A S A T 3 1 M A R C H 2 0 2 2
Kiwi Property
Annual Report 2022
39
Note
2022
$000
2021
$000
Current assets
Cash and cash equivalents
11,600
16,040
Other assets
600
-
Trade and other receivables3.1
7,730
11,840
Investment properties held for sale3.2
208,764
356,199
228,694
384,079
Non-current assets
Investment properties3.2
3,358,872
2,975,295
Property, plant and equipment
3,319
4,115
Interest rate derivatives3.4.2
3,604
2,822
3,365,795
2,982,232
Total assets3,594,489
3,366,311
Current liabilities
Trade and other payables3.5
62,954
53,265
Interest bearing liabilities3.4.1
-
125,664
Income tax payable
9,302
2,672
Interest rate derivatives3.4.2
175
-
Lease liabilities
1,385
8,737
73,816
190,338
Non-current liabilities
Interest bearing liabilities3.4.1
1,135,944
924,197
Interest rate derivatives3.4.2
1,076
18,965
Deferred tax liabilities3.3
108,462
94,518
Lease liabilities
3,578
3,507
1,249,060
1,041,187
Total liabilities1,322,876
1,231,525
Equity
Share capital3.6.1
1,663,499
1,661,916
Share-based payments reserve
1,987
1,890
Retained earnings
606,127
470,980
Total equity2,271,613
2,134,786
Total equity and liabilities3,594,489
3,366,311
The consolidated statement of financial position should be read in conjunction with the accompanying notes.
For and on behalf of the Board, who authorised these consolidated financial statements for issue on 20 May 2022.
Mark Ford
Chair
Mary Jane Daly
Chair of the Audit and Risk Committee

Consolidated statement
of cash flows
F O R T H E Y E A R E N D E D 3 1 M A R C H 2 0 2 2
Kiwi Property
Annual Report 2022
40
2022
$000
2021
$000
Cash flows from operating activities
Property revenue
245,222
227,767
Property management income
1,702
1,448
Interest and other income
152
274
Direct property expenses
(56,348)
(52,960)
Interest and finance charges
(36,859)
(34,258)
Interest costs paid on lease liabilities
(324)
(1,072)
Employment and administration expenses
(22,337)
(21,263)
Income tax expense
(15,804)
(13,663)
Goods and Services Tax received
196
944
Net cash flows from operating activities115,600
107,217
Cash flows from investing activities
Proceeds from disposal of investment properties
8,293
-
Acquisition of investment properties
(38,830)
(4,017)
Expenditure on investment properties
(81,032)
(103,221)
Interest and finance charges capitalised to investment properties
(3,800)
(8,593)
Acquisition of property, plant and equipment
(353)
(981)
Net cash flows used in investing activities(115,722)
(116,812)
Cash flows from financing activities
Payment of lease liabilities
(51)
(124)
Net proceeds from bank loans
62,000
39,000
Proceeds from fixed-rate green bonds
148,158
-
Repayment of fixed-rate green bonds
(125,000)
-
Dividends paid
(89,425)
(34,493)
Net cash flows (used in)/from financing activities(4,318)
4,383
Net decrease in cash and cash equivalents(4,440)
(5,212)
Cash and cash equivalents at the beginning of the year
16,040
21,252
Cash and cash equivalents at the end of the year11,600
16,040
The consolidated statement of cash flows should be read in conjunction with the accompanying notes.

Consolidated statement
of cash flows (continued)
Kiwi Property
Annual Report 2022
41
Reconciliation of profit after income tax to net cash flows from operating activities
2022
$000
2021
$000
Profit after income tax
224,273
196,529
Items classified as investing or financing activities:
Movement in working capital items relating to investing and financing activities
(14,148)
(8,903)
Non-cash items:
Net fair value gain on interest rate derivatives
(18,496)
(6,305)
Net fair value gain on investment properties
(120,473)
(99,756)
Increase in deferred tax liabilities
13,944
11,301
Amortisation of lease incentives, abatements and fees
13,083
13,557
Straight-lining of fixed rental increases
(3,012)
36
Movements in working capital items:
Decrease in trade and other receivables
4,110
92
Increase in income tax payable
6,630
924
Increase/(decrease) in trade and other payables
9,689
(258)
Net cash flows from operating activities115,600
107,217
The consolidated statement of cash flows should be read in conjunction with the accompanying notes.

Notes to the consolidated
financial statements
F O R T H E Y E A R E N D E D 3 1 M A R C H 2 0 2 2
Kiwi Property
Annual Report 2022
42
1.General information
1.1Reporting entity
Pg 43
1.2Basis of preparation
Pg 43
1.3Significant changes during the year
Pg 43
1.4Group structure
Pg 44
1.5New standards, amendments and interpretations
Pg 44
1.6Key judgements and estimates
Pg 44
1.7Accounting policies
Pg 44
2.Profit and loss information
2.1Property revenue
Pg 45
2.2Expenses
Pg 46
2.3Tax expense
Pg 48
3.Financial position information
3.1Trade and other receivables
Pg 50
3.2Investment properties
Pg 51
3.3Deferred tax
Pg 63
3.4Funding
Pg 64
3.5Trade and other payables
Pg 69
3.6Equity
Pg 69
4.Financial risk management
4.1Interest rate risk
Pg 74
4.2Credit rate risk
Pg 75
4.3Liquidity risk
Pg 76
5.Other information
5.1Segment information
Pg 77
5.2Related party transactions
Pg 78
5.3Key management personnel
Pg 79
5.4Commitments
Pg 79
5.5Subsequent events
Pg 80

1. General information
F O R T H E Y E A R E N D E D 3 1 M A R C H 2 0 2 2
Kiwi Property
Annual Report 2022
43
1.1 Reporting entity
The consolidated financial statements are for Kiwi Property
Group Limited (Kiwi Property or the Company) and its controlled
entities (the Group). The Company is incorporated and
domiciled in New Zealand, is registered under the Companies
Act 1993 and is an FMC reporting entity for the purposes of
the Financial Markets Conduct Act 2013. The Company is listed
with NZX Limited with its ordinary shares quoted on the NZX
Main Board and
fixed-rate green bonds quoted on the NZX
Debt Market.
The principal activity of the Group is to invest in New Zealand
real estate.
1.2 Basis of preparation
The consolidated financial statements have been prepared
in accordance with Generally Accepted Accounting Practice
(GAAP) and the Financial Markets Conduct Act 2013. They
comply with New Zealand Equivalents to International Financial
Reporting Standards (NZ IFRS) and other guidance as
issued by the External Reporting Board, as appropriate to
for-profit entities, and with International Financial Reporting
Standards (IFRS).
The consolidated financial statements have been prepared on
the basis the Group is a going concern.
The consolidated financial statements are prepared on the
basis of historical cost, except where otherwise identified. The
functional and presentation currency used in the preparation of
the consolidated financial statements is New Zealand dollars.
Certain comparative figures have been reclassified to accord
with current year presentation.
1.3 Significant changes during the year
The financial position and performance of the Group was
affected by the following events and transactions during
the year:
COVID-19
global pandemic
New Zealand entered a nationwide Alert Level 4 lockdown
on 17 August 2021 due to new COVID-19 cases found
in the community. Auckland shifted to Alert Level 3 on
21 September 2021, while the rest of New Zealand shifted
to Alert Level 3 and Alert Level 2 on 31 August 2021 and
7 September 2021 respectively. During Alert Levels 3 and 4
the operations of many of the Group’s tenants were restricted
to varying degrees, and at Alert Level 2 businesses were able
to operate with restrictions remaining in place around social-
distancing and mass gatherings. On 2 December 2021, New
Zealand moved to the COVID-19 Protection Framework and the
associated traffic light settings. Under the red and orange traffic
lights, the Group's hospitality and close-proximity tenants were
able to operate with the use of vaccination passes, while retail
tenants were able to operate with limited restrictions, including
the wearing of face coverings.
The lockdowns resulted in the Group offering rental relief
across several of the Group’s tenants. This process remained
in progress at 31 March 2022 and expected rental relief which
was not finalised at balance date has been accrued. Rental
relief includes abatements for rental income payable for the
months of August 2021 to December 2021, and in some cases for
January 2022 to March 2022 following the move to the COVID-19
Protection Framework and the arrival of the Omicron variant
of COVID-19. Certain rental abatements have been accounted
for as lease
modifications under New Zealand Equivalents to
International Financial Reporting Standards (NZ IFRS), with
the change in lease payments amortised over the remaining
terms of the leases, while other concessions have been
recognised directly as a charge to the Consolidated Statement
of Comprehensive Income. Rental abatements incurred and
accrued relating to the lockdowns during the period were
$17.4 million on a gross basis, which included a charge to
the Consolidated Statement of Comprehensive Income of
$4.3 million for year ended 31 March 2022.
On 3 November 2021, the Government amended the Property
Law Act to insert a clause into commercial leases requiring a
‘fair proportion’ of rent and operating expenses to be abated
where a tenant has been unable to fully conduct their business
in their premises due to the COVID-19 restrictions. The Group
considers that the abatements offered to tenants impacted by
the COVID-19 restrictions during the year represent a reduction
of a fair proportion of rent and operating expenses.
Investment property
During the year ended 31 March 2022, the Group acquired
property in Drury for $3.5 million and at Sylvia Park for
$35.3 million.
Joint venture
On 1 April 2021, the Group entered into a 50:50 joint venture with
Tainui Group Holdings (TGH) in respect of Centre Place North.
Under the terms of the agreement, the joint venture comprises
Centre Place North, 61-65 Bryce Street, 511-523 Victoria Street
and land at 10 Ward Street, with a value on 1 April 2021 of
$68.3 million. A new 100-year ground lease has been granted by
TGH, with rent pre-paid.

Kiwi Property
Annual Report 2022
44
1.4 Group structure
Controlled entities
The Company has the following wholly owned subsidiaries:
•
Kiwi Property Centre Place Limited
•
Kiwi Property Holdings Limited
•
Kiwi Property Holdings No. 2 Limited
•
Kiwi Property Holdings No. 3 Limited
•
Kiwi Property Holdings No. 4 Limited
•
Kiwi Property Holdings No. 5 Limited
•
Kiwi Property Holdings No. 6 Limited
•
Kiwi Property Holdings No. 7 Limited
•
Kiwi Property Te Awa Limited
•
Sylvia Park Business Centre Limited
The Company has control over the trust fund operated by Pacific
Custodians (New Zealand) Limited as trustee for the Company's
long-term incentive (LTI) plan (for further details refer to note
3.6.4). The trust fund is consolidated as part of the Group.
Joint ventures
The Group holds a 50% interest in both The Base and The Centre
Place unincorporated joint ventures. The Group has determined
that its interests constitute a joint arrangement as the relevant
decisions about the properties require the unanimous consent
of both parties. The joint arrangements have been
classified as
joint operations on the basis that the parties have direct rights to
the assets and obligations for the liabilities relating to their share
of the properties in the normal course of business. The Group
recognises its share of assets, liabilities, revenue and expenses
of the joint ventures.
Principles of consolidation
The consolidated financial statements include the Company
and the entities it controls up until the date control ceases. The
balances and effects of transactions between controlled entities
and the Company are eliminated in full.
1.5 New standards, amendments and
interpretations
The International Financial Reporting Interpretations Committee
(IFRIC) published an agenda decision in March 2021 which was
ratified by the International Accounting Standards Board (IASB)
in April 2021. The decision deals with specific circumstances
in relation to configuration and customisation costs incurred in
implementing Software-as-a-Service (SaaS). As a result, certain
costs which previously may have been capitalised now need to
be expensed to the Consolidated Statement of Comprehensive
Income. The Group's accounting to date has been in line with the
requirements of this agenda decision, however, it is expected
that the future impact will be more material as the Group
undertakes digital transformation activities. There are no other
new accounting standards impacting the consolidated financial
statements for the financial year ended 31 March 2022. There are
no standards issued but not yet
effective that will have a material
impact on future financial periods.
1.6 Key judgements and estimates
In the process of applying the Group's accounting policies, a
number of judgements have been made and estimates of future
events applied. Judgements and estimates are found in the
following notes:
Note 2.3
Tax expensePage 48
Note 3.1
Provision for doubtful debtsPage 50
Note 3.2
Investment propertiesPage 51
Note 3.4.2
Interest rate derivativesPage 66
Note 3.6.4
Share-based paymentsPage 71
1.7 Accounting policies
Accounting policies that summarise the measurement bases
used and are relevant to an understanding of the consolidated
financial statements are provided throughout the notes to the
consolidated financial statements. Other relevant policies are
provided as follows:
Measurement of fair values
The Group classifies its fair value measurement using a fair
value hierarchy that reflects the significance of the inputs used
in making the measurements. The fair value hierarchy has the
following levels:
•
Level 1: Quoted prices (unadjusted) in active markets for
identical assets or liabilities.
•
Level 2: Inputs other than quoted prices included within Level
1 that are observable for the asset or liability, either directly
(i.e. as prices) or indirectly (i.e. derived from prices).
•
Level 3: Inputs for the asset or liability that are not based on
observable market data (unobservable inputs).
The carrying amount of all financial assets and liabilities is
equivalent to their fair values apart from the fixed-rate green
bonds (refer to note 3.4.1 for further details on the fair value of
the fixed-rate green bonds).
Goods and Services Tax
The consolidated financial statements have been prepared on
a Goods and Services Tax exclusive basis, with the exception
of receivables and payables which are inclusive of Goods and
Services Tax where relevant.
Property management income
Property management income is recognised over time as
performance obligations are satisfied in accordance with the
management contracts.

2. Profit and loss information
F O R T H E Y E A R E N D E D 3 1 M A R C H 2 0 2 2
Kiwi Property
Annual Report 2022
45
2.1 Property revenue
2022
$000
2021
$000
Gross rental income
1
254,150
245,005
Straight-lining of fixed rental increases
3,012
(36)
Amortisation of capitalised lease incentives and abatements
(12,092)
(12,533)
Property revenue245,070
232,436
1Includes $40.8 million of property operating expenses recovered from tenants (2021: $39.1 million).
The contractual future minimum property operating lease income to be received on properties owned by the Group at balance date,
including assets held for sale, is as follows:
2022
$000
2021
$000
Within one year
260,294
259,675
Between one and two years
215,509
214,015
Between two and three years
188,712
190,170
Between three and four years
153,445
164,443
Between four and five years
129,441
130,424
Later than five years
443,846
424,673
Property operating lease income1,391,247
1,383,400
Recognition and measurement
The Group enters into property leases with tenants on its investment properties. The Group has determined that it retains all
significant risks and rewards of ownership of these properties and has therefore classified the leases as operating leases.
Rental income from those leases, including fixed rental increases, is recognised on a straight-line basis over the term of
the lease.
Lease incentives offered to tenants as an inducement to enter into leases are capitalised to investment properties and then
amortised over the term of the lease as a reduction of rental income. Certain rental abatements provided to tenants are also
capitalised to investment properties and amortised over the lease term as a reduction of rental income.
The share of property operating expenses which are recoverable from tenants is recognised as gross rental income from
expense recoveries. This is associated with the provision of services relating to the operations of the Group's properties (for
example, council and water rates, insurance, utilities, repairs and maintenance, security costs). The Group recognises revenue
in the accounting period the underlying expenses are incurred in accordance with the contractual terms.

Kiwi Property
Annual Report 2022
46
2.2 Expenses
2022
$000
2021
$000
Interest and finance charges on bank loans
20,495
20,326
Interest on fixed-rate green bonds
21,378
23,154
Interest on lease liabilities
324
1,072
Interest capitalised to investment properties being developed
(3,800)
(8,593)
Interest and finance charges38,397
35,959
Auditor's remuneration:
Statutory audit and review of the consolidated financial statements
279
249
Assurance related services
1
44
43
Remuneration benchmarking
24
9
Agreed upon procedures in respect of a specified remuneration metric
6
5
Agreed upon procedures in respect Centre Place North Joint Venture
7
-
Directors' fees
749
686
Employee entitlements
25,121
23,915
Less: recognised in direct property expenses
(6,451)
(6,856)
Less: capitalised to investment properties being developed
(3,411)
(1,800)
Information technology
2,801
1,913
Investor related expenses
952
527
Occupancy costs
427
428
Professional fees
2,756
1,989
Trustees' fees
101
110
Other
2,423
1,869
Employment and administration expenses25,828
23,087
1Assurance related services includes the audits of special purpose financial information in accordance with tenancy agreements.

Kiwi Property
Annual Report 2022
47
2.2 Expenses (continued)
Recognition and measurement
Interest and finance charges
The interest and finance charges on bank loans are expensed in the period in which they occur, other than associated
transaction costs which are capitalised and amortised over the term of the facility to which they relate.
The interest expense on fixed-rate green bonds is recognised using the effective interest rate method.
To determine the amount of borrowing costs capitalised to investment properties that are being constructed or developed
for future use, the Group uses the weighted average interest rate applicable to its outstanding borrowings during the year. For
2022 this was 3.95% (2021: 4.24%).
Finance charges also include interest on lease liabilities as outlined in note 3.2.
Employee entitlements
Employee benefits are expensed as the related service is provided. Details of the employee entitlements expense in relation
to share-based payments is outlined in note 3.6.4.

Kiwi Property
Annual Report 2022
48
2.3 Tax expense
A reconciliation of profit before income tax to income tax expense follows:
2022
$000
2021
$000
Profit before income tax
260,648
222,413
Prima facie income tax expense at 28%
(72,981)
(62,276)
Adjusted for:
Net fair value gain on interest rate derivatives
5,179
1,765
Net fair value gain on investment properties
33,732
27,932
Loss on disposal of investment properties
(875)
-
Depreciation
15,108
14,232
Depreciation recovered on disposal of investment properties
(3,637)
-
Net abatements and deferred leasing costs
135
2,138
(Deferred rent received)/deferred rent
(422)
474
Deductible capitalised expenditure
1,065
2,435
Prior year adjustment
173
11
Other
92
(1,294)
Current tax expense(22,431)
(14,583)
Depreciation recoverable
(7,222)
(7,864)
Net fair value gain on interest rate derivatives
(5,179)
(1,765)
Deferred leasing costs and other temporary differences
(1,543)
(1,672)
Deferred tax expense(13,944)
(11,301)
Income tax expense reported in profit(36,375)
(25,884)
Imputation credits available for use in subsequent periods10,632
7,927

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Annual Report 2022
49
2.3 Tax expense (continued)
Recognition and measurement
Current tax
Current tax is the expected tax payable on the taxable income for the year, using tax rates enacted or substantively enacted
at balance date, and any adjustment to tax payable in respect of previous years.
Deferred tax
Deferred tax is recognised in respect of all taxable temporary differences between the carrying amounts of assets and liabilities
for financial reporting purposes and the amounts used for taxation purposes. For deferred tax liabilities or assets arising on
investment property measured at fair value, it is assumed that the carrying amounts of investment property will be recovered
through sale (refer to note 3.3).
Imputation credits
The imputation credits available represent the balance of the imputation credit account at the end of the reporting period,
adjusted for imputation credits which will arise from the payment of the income tax liability.
Key estimates and assumptions: income tax
Deferred tax on depreciation
Deferred tax is provided in respect of depreciation expected to be recovered on the sale of investment properties at fair
value. Investment properties are valued each year by independent valuers. These values include an allocation of the valuation
between the land and building components. The calculation of deferred tax on depreciation recovered relies on this allocation
provided by the valuers.
The calculation of deferred tax on depreciation recovered also requires an assessment to be made of market values
attributable to fixtures and fittings. The market values of fixtures and fittings for significant properties have been assessed
utilising independent valuation advice and the remaining properties have been assessed with reference to previous
transactional evidence and their age and quality.
Depreciation recovered on the former PricewaterhouseCoopers Centre (PwC Centre), Christchurch
The impairment of the PwC Centre in the year ended 31 March 2012 (resulting from the 2010 and 2011 Canterbury earthquakes)
and the associated insurance recovery triggered a potential tax liability for depreciation recovered.
Following the earthquakes, the Government introduced legislation that provides, in certain circumstances, rollover relief for
taxpayers affected by the earthquakes where insurance income will be used to acquire or develop replacement property in
the Canterbury region. The legislation requires that the replacement property be available for use by 31 March 2024. As at
31 March 2022, the Group no longer qualifies for this relief and a current tax liability of $3.6 million has been recognised (2021:
deferred tax liability of $3.6 million).

3. Financial position information
F O R T H E Y E A R E N D E D 3 1 M A R C H 2 0 2 2
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Annual Report 2022
50
3.1 Trade and other receivables
2022
$000
2021
$000
Trade debtors
11,829
7,566
Provision for doubtful debts
(3,374)
(2,620)
Accrued COVID-19 rent relief
1
(7,370)
(1,478)
1,085
3,468
Deferred rent
2
195
1,947
Prepayments
6,450
6,425
Trade and other receivables7,730
11,840
1Relates to expected abatements and other rent reductions offered to certain tenants as part of COVID-19 rent relief which were not finalised at balance date.
2Relates to rental amounts where payment terms have been extended as part of COVID-19 rent relief offered to certain tenants.
Recognition and measurement
Trade debtors are initially recognised at fair value and subsequently measured at amortised cost using the effective interest
rate method, less an allowance for impairment. Collectability of trade debtors is reviewed on an ongoing basis and a provision
for doubtful debts is made when there is evidence that the Group will not be able to collect the receivable. In determining
the provision, the Group applies the simplified approach to measuring expected credit losses prescribed by NZ IFRS 9, which
permits the use of lifetime expected credit losses for all trade debtors. To measure the expected credit losses the Group uses
a provision matrix that is based on its historical credit loss experience, adjusted for forward-looking factors specific to debtors
and the economic environment. Debtors are written off when recovery is no longer anticipated. All overdue debtors considered
to be impaired have been provided for at balance date.
Key estimates and assumptions: provision for doubtful debts
The Group’s property revenue largely consists of fixed rental obligations due under lease agreements, which are paid monthly
in advance. Therefore, property revenue and the assessment of the recoverability of tenant debtors have not been subject to
a significant level of judgement or estimation prior to the COVID-19 pandemic.
Retail trade has been unfavourably impacted by COVID-19 due to extended lockdown periods and the protracted return to
offices. As a result, the trade debtor balance at balance date is relatively high compared to pre-pandemic levels. Judgement
is required in determining allowances for expected credit losses on these receivables due to restrictions on retail property
performance and the uncertain outcome of rental abatement negotiations.

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51
3.2 Investment properties
Recognition and measurement
Investment properties are properties held for long-term capital appreciation and to earn rental income.
Initial recognition - acquired properties
Investment properties are initially measured at cost, plus related costs of acquisition. Subsequent expenditure is capitalised
to the asset's carrying amount when it adds value to the asset and its cost can be measured.
Initial recognition - properties being developed
Investment properties also include properties that are being constructed or developed for future use as investment properties.
All costs directly associated with the purchase and construction of a property, and all subsequent capital expenditures for the
development qualifying as acquisition costs, are capitalised. Borrowing costs are capitalised if they are directly attributable to
the development.
Subsequent measurement
After initial recognition, investment properties are measured at fair value as determined by independent registered valuers.
Investment properties under construction are carried at cost until it is possible to reliably determine their fair value, from which
point they are carried at fair value. Investment properties are valued at least annually and may not be valued by the same valuer
for more than three consecutive years.
Any gains or losses arising from changes in fair value are recognised in profit or loss in the reporting period in which they arise.
Investment properties are classified as held for sale when they are actively marketed for sale and their carrying amount will be
recoverable principally through a sale transaction rather than continuing use. Investment properties held for sale are carried
at fair value. Where a contracted sale price is available, the investment property is carried at that value less associated costs
for seismic remediation or rental guarantees, this being the best indicator of fair value. Where no contracted price is available,
the fair value is determined by independent registered valuers.
Lease incentives
Lease incentives provided by the Group to lessees are included in the measurement of fair value of investment properties and
are treated as separate assets. Such assets are amortised on a straight-line basis over the respective periods to which the lease
incentives apply.

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52
3.2 Investment properties (continued)
Ground leases
While the majority of the Group’s investment portfolio is freehold, the Group has entered into several occupational ground
leases of properties or components of properties in its investment portfolio to which NZ IFRS 16 applies. Lease liabilities are
initially measured as the present value of the remaining cash flows discounted at the 'incremental borrowing rate', being the
property yield for the properties with the benefit of the occupational ground leases. Property yield is used given the long term
nature of the leases. The cash flows relating to the ground leases are also included in the fair value of the investment properties
and therefore a gross up for the lease liability is recognised in the investment property balance at the amount equal to the
lease liability.
The Group is exposed to potential future increases in variable lease payments which are not included in lease liabilities until
they take effect. When this occurs a corresponding adjustment is made to the gross up of the lease liability in the investment
property balance.
Lease payments are allocated between principal and finance costs. The finance cost is charged to the Consolidated Statement
of Comprehensive Income over the lease period so as to produce a constant periodic rate of interest on the remaining balance
of the liability for each period.
Disposals
Investment properties are derecognised when they have been disposed of. The net gain or loss on disposal is calculated as the
difference between the carrying amount of the investment property at the time of the disposal and the proceeds on disposal
and is included in profit or loss in the reporting period in which the disposal settled.

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53
3.2 Investment properties (continued)
Investment properties held by the Group are as follows:
Valuer
Capitalisation
rate
%
Fair value
31 March 2021
$000
Capital
movements
2022
$000
Fair value
gain/(loss)
2022
$000
Fair value
31 March 2022
$000
Mixed-use
Sylvia Park Precinct
1
Various5.201,100,000313,90848,6691,462,577
Sylvia Park Lifestyle
2
86,500(86,500)--
LynnMall
Colliers6.50249,00015,870(13,870)251,000
The Base
3
JLL6.25187,5001,4469,054198,000
1,623,000244,72443,8531,911,577
Office
Vero Centre
JLL4.50500,5001,92142,579545,000
ASB North Wharf
CBRE4.75260,0001,242(3,242)258,000
The Aurora Centre
CBRE5.38181,700(200)2,400183,900
44 The Terrace
CBRE5.7559,400(31)(3,969)55,400
1,001,6002,93237,7681,042,300
Other
Westgate Lifestyle
CBRE5.8888,5007655,33594,600
The Plaza
CBRE8.00-157,302(7,302)150,000
Other properties
4
190,350(151,914)4,13942,575
Development land
68,30010,94934,951114,200
347,15017,10237,123401,375
2,971,750264,758118,7443,355,252
Gross up of lease liabilities
3,545107(32)3,620
Investment properties - non-current2,975,295264,865118,7123,358,872
Investment properties held for sale
Properties held for sale
5
347,500(141,859)1,780207,421
Gross up of lease liabilities
6
8,699(7,337)(19)1,343
Investment properties held for sale - current356,199(149,196)1,761208,764
Total investment properties3,331,494115,669120,4733,567,636
1Sylvia Park Precinct was valued “as if complete” at $1.732 billion based on a weighted capitalisation rate of 5.0% (including the as if complete capitalisation rates for 3 Te Kehu
Way and Sylvia Park build-to-rent). The deduction of outstanding development costs for the Sylvia Park build-to-rent development and the 3 Te Kehu Way
office development
($262.7 million in total), together with allowances for profit and risk and stabilisation ($6.5 million in total), results in an “as is” value of $1.463 billion.
2Sylvia Park Lifestyle has been reclassified to Sylvia Park Precinct in the current year.
3Represents the Group's 50% ownership interest.
4The fair value at 31 March 2021 includes 50% of the Group's ownership interest in Centre Place North, with the remaining 50% included within properties held for sale. On 1 April
2021, the Group disposed of 50% of its interest in Centre Place North as its contribution to the Centre Place North Joint Venture (a 50:50 joint venture between the Group and
Tainui Group Holdings). As part of the disposal, the Group received a 50% interest in investment property contributed by Tainui Group Holdings to the Centre Place North
Joint Venture, with the balance of the consideration being settled in cash. The investment property contribution by Tainui Group Holdings included a 100-year prepaid ground
lease and certain adjoining properties. The fair value at 31 March 2022 includes the Group’s 50% ownership interest in the Centre Place North Joint Venture. Certain adjoining
properties located at Sylvia Park have been reclassified to Sylvia Park Precinct in the mixed-use asset class above. The adjoining properties associated with the sale of land
to IKEA have been reclassified to properties held for sale.
5The fair value at 31 March 2021 includes The Plaza, Northlands and 50% of Centre Place North and an adjoining property. The 50% share of Centre Place North and adjoining
property was disposed of as part of the Centre Place North Joint Venture transaction referred to above. The Plaza has been reclassified to the other properties asset class above
as it is no longer being actively marketed for sale. The fair value at 31 March 2022 includes Northlands and certain adjoining properties located at Sylvia Park in relation to the
sale of land to IKEA. Northlands is carried at the value determined by external valuation and the IKEA adjoining properties are carried at contract price.
6The fair value at 31 March 2021 includes Northlands and Centre Place North and an adjoining property. The gross up of lease liabilities associated with Centre Place North and
the adjoining property were extinguished on
1 April 2021 as part of the Centre Place North Joint Venture transaction referred to above.

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54
3.2 Investment properties (continued)
Valuer
Capitalisation
rate
%
Fair value
31 March 2020
$000
Capital
movements
2021
$000
Fair value
gain/(loss)
2021
$000
Fair value
31 March 2021
$000
Mixed-use
Sylvia ParkJLL5.50982,00086,32531,6751,100,000
Sylvia Park LifestyleJLL5.8874,30068911,51186,500
LynnMallColliers6.63245,0009,695(5,695)249,000
The Base
1
CBRE6.38198,0002,807(13,307)187,500
1,499,30099,51624,1841,623,000
Office
Vero CentreColliers4.75445,00043855,062500,500
ASB North WharfJLL4.88238,00019821,802260,000
The Aurora CentreCBRE5.50170,300(1,656)13,056181,700
44 The TerraceCBRE5.8857,100(178)2,47859,400
910,400(1,198)92,3981,001,600
Other
Westgate Lifestyle
2
Colliers6.0079,0002989,20288,500
Other properties
3
170,0504,40415,896190,350
Development land60,0008,362(62)68,300
309,05013,06425,036347,150
2,718,750111,382141,6182,971,750
Gross up of lease liabilities1,2692,310(34)3,545
Investment properties - non-current
2,720,019113,692141,5842,975,295
Investment properties held for sale
Properties held for sale
4
386,1003,138(41,738)347,500
Gross up of lease liabilities
5
8,615174(90)8,699
Investment properties held for sale - current
394,7153,312(41,828)356,199
Total investment properties
3,114,734117,00499,7563,331,494
1Represents the Group's 50% ownership interest.
2Westgate Lifestyle has been reclassified from retail to the other asset class.
3Includes 50% of Centre Place North, which is not held for sale.
4Includes The Plaza, Northlands and 50% of Centre Place North and an adjoining property. The associated gross up of lease liabilities has also been classified as properties held
for sale.
5Includes Northlands and Centre Place North and an adjoining property.

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55
3.2 Investment properties (continued)
The movement in the Group's investment properties during the year is as follows:
Mixed-use
$000
Office
$000
Other
$000
Held for sale
$000
2022
$000
Balance at the beginning of the year excluding
gross up of lease liabilities1,623,0001,001,600347,150347,500
3,319,250
Capital movements:
Transfers between asset classes133,189-(8,654)(124,535)
-
Acquisitions35,347-3,483-
38,830
Net disposal of Centre Place North--11,793(19,800)
(8,007)
Capitalised costs (including lease incentives,
fees, abatements and fixed rental income)81,1404,4929,0893,626
98,347
Capitalised interest and finance charges1,070-2,730-
3,800
Amortisation of lease incentives, fees,
abatements and fixed rental income(6,022)(1,560)(1,339)(1,150)
(10,071)
244,7242,93217,102(141,859)
122,899
Net fair value gain on investment properties
excluding gross up of lease liabilities43,85337,76837,1231,780
120,524
Balance at the end of the year excluding
gross up of lease liabilities1,911,5771,042,300401,375207,4213,562,673
Gross up of lease liabilities:
Balance at the beginning of the year473-3,0728,699
12,244
Capital movements107--(7,337)
(7,230)
Fair value movements(32)--(19)
(51)
548-3,0721,343
4,963
Balance at the end of the year including gross
up of lease liabilities1,912,1251,042,300404,447208,7643,567,636

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56
3.2 Investment properties (continued)
The movement in the Group's investment properties during the prior year is as follows:
Mixed-use
$000
Retail
$000
Office
$000
Other
$000
Held for
sale
$000
2021
$000
Balance at the beginning of the year excluding gross up
of lease liabilities1,499,300480,500910,400214,650-3,104,850
Transfer from retail to other-(97,250)-97,250--
Transfer to held for sale-(383,250)-(2,850)386,100-
Capital movements:
Acquisitions---4,017-4,017
Capitalised costs (including lease incentives, fees,
abatements and fixed rental income)99,629-3,1276,0586,689115,503
Capitalised interest and finance charges4,755--3,838-8,593
Amortisation of lease incentives, fees, abatements
and fixed rental income(4,868)-(4,325)(849)(3,551)(13,593)
99,516-(1,198)13,0643,138114,520
Net fair value gain/(loss) on investment properties
excluding gross up of lease liabilities24,184-92,39825,036(41,738)99,880
Balance at the end of the year excluding gross up of
lease liabilities1,623,000-1,001,600347,150347,5003,319,250
Gross up of lease liabilities:
Balance at the beginning of the year4988,656-730-9,884
Transfer from retail to other-(771)-771--
Transfer to held for sale-(7,885)-(730)8,615-
Capital movements9--2,3011742,484
Fair value movements(34)---(90)(124)
473--3,0728,69912,244
Balance at the end of the year including gross up of
lease liabilities1,623,473-1,001,600350,222356,1993,331,494

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57
Key estimates and assumptions: valuation and fair value measurement of investment properties
Introduction
All of the Group's investment properties have been determined to be Level 3 (2021: Level 3) in the fair value hierarchy because
all significant inputs that determine fair value are not based on observable market data. Refer to note 1.7 for further information
on the fair value hierarchy.
Valuation process
All investment properties were valued as at 31 March 2022 (and as at 31 March 2021). All valuations are prepared by independent
valuers who are members of the Group's valuation panel and the New Zealand Institute of Valuers.
Investment property values are assessed within a range indicated by at least two valuation approaches; most commonly
the income capitalisation approach and discounted cash flow approach. Other valuation approaches, including the sales
comparison approach or deferred land value approach may be used depending on the nature of the property. In addition, the
adopted valuation of an investment property undergoing development may be assessed using a residual approach.
Estimates are used in these valuation approaches to determine fair value. For the two most common approaches, these include
the capitalisation rate in the income capitalisation approach and the discount rate in the discounted cash flow approach. Both
approaches are also influenced by other estimates relating to market rental levels, vacancy rates, letting-up allowances and
the cost of ongoing operating expenses, capital expenditure and other capital payments.
In relation to capital expenditure, the valuers for Sylvia Park, LynnMall, The Base, Vero Centre, ASB North Wharf, The Aurora
Centre, 44 The Terrace, The Plaza and Northlands have made deductions for seismic strengthening works. The valuer of Centre
Place North has assessed the seismic risk of the asset in the capitalisation rate of the valuation. The Group has provided the
valuers with the estimated cost of works for each asset. In some instances the valuer has assessed additional costs for potential
works to buildings which have not been subject to a Detailed Seismic Assessment (DSA) and/or made additional allowances
for escalation and
profit and risk.
The timing of the cash outflow for these costs has been spread over the likely remediation period and the overall value
deduction reflects the present value of costs over the adopted time horizon.
Under the residual approach, valuers estimate the ‘as if complete’ value of an asset using the common investment valuation
approaches described above. They then deduct remaining project costs and a typical profit margin for risks assumed by the
developer to determine the asset’s ‘as is’ or residual value.
Two assets within the Sylvia Park Precinct were valued using the residual approach as at 31 March 2022, being the Sylvia
Park build-to-rent (BTR) and 3 Te Kehu Way properties, as the development of both of these properties has commenced with
construction underway.
The valuations are reviewed by the Group and adopted as the carrying value in the financial statements. As part of this process,
the Group’s management verifies all major inputs to the valuations, assesses valuation movements since the previous year and
holds discussions with the independent valuers to assess the reasonableness of the valuations.
Impact of the
COVID-19 global pandemic
As at 31 March 2022 the real estate markets to which the Group’s investment properties belong continued to be impacted by
market uncertainty caused by COVID-19.
The market uncertainty has affected key inputs, assumptions and processes used in the valuation of the Group’s investment
properties, being:
•
estimating the net income that a property can produce (income uncertainty), and
•
converting that income to value by applying investment rates of return which are derived from analysis of recent market
transactions (investment uncertainty).

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58
3.2 Investment properties (continued)
Income uncertainty
The pandemic has impacted the income earning potential of the Group’s properties during the financial period. The Group
leases commercial accommodation to a range of businesses from where they conduct their operations. Restrictions imposed
by the Government to combat the pandemic prevented certain businesses from operating out of their premises in the usual
manner. In response, the Group is working through a cost sharing programme with affected tenants whereby the Group has
forgiven or will forgive a portion of the rent payable by the tenant. The percentage of rent forgiven and the duration of the
forgiveness period, is subject to negotiation between the Group and the tenant. This programme had a negative impact on the
Group’s income for the year ended 31 March 2022. Future income may also be impacted as:
•
the underlying activity and profitability of many of the Group’s tenants may be affected by further restrictions which prevent
the population from socialising or accessing goods and services to the extent they could before the pandemic, although
the combination of the Government’s pandemic management protocols and widespread take-up of the vaccination is
expected to reduce the need for long-term restrictions in the future, and therefore the need for further cost sharing
measures of the same scale. However, risk also remains that a more severe variant of Covid-19 may transpire in the future.
•
border restrictions into New Zealand mean businesses that rely on travel and tourism continue to be negatively impacted,
although restrictions are proposed to be lifted on a staged basis with normal visa processing to resume for all visa categories
from August 2022.
Investment uncertainty
Investment uncertainty arising from COVID-19 has lessened during the financial period relative to the prior period, although
some uncertainty still remains, generally for larger (above $100 million) retail and retail-dominated mixed-use properties.
During the financial period investment market participants were restricted in conducting normal business activities during Alert
Levels 3 and 4 as well as during red traffic light settings. Additionally, many large investors are domiciled offshore and travel
restrictions prevented them from physically inspecting assets and undertaking typical due diligence. However, there has been
varying levels of transactional evidence across all core real estate sectors during the financial period, providing evidence of
current market pricing. The exception is for larger retail assets above $100 million in value for which the inputs and metrics used
to reliably estimate fair value are derived with reference to sub-$100 million retail asset sales, a robust level of larger Australian
transactional evidence, and local market metrics from before the pandemic began.
Valuation uncertainty
Material Valuation Uncertainty statements have been removed from the external valuations of all of the Group’s assets as at
31 March 2022.
More recently, there has been increased transactional activity across some property sectors. This has enabled valuers of
properties within these sectors to conclude valuations with a greater degree of certainty and consequently remove the Material
Valuation Uncertainty clauses from the valuations for these assets. Notwithstanding, these valuations still include statements
pertaining to market volatility, elevated risk and uncertainty suggesting that a higher degree of caution should still be exercised
when relying upon the valuations.
Until investment property values can be demonstrated to have stabilised post COVID-19, the Group will continue to monitor
the investment markets to determine if more frequent valuation updates need to be obtained.
While valuation uncertainty relating to COVID-19 is reducing, general macroeconomic trends have evolved over the latter
part of the financial year which is creating a heightened sense of uncertainty as at the balance date. These trends include
rising interest rates on the back of the highest levels of consumer price inflation observed since the early 1990’s. High levels
of
inflation and the increasing cost of living is expected to adversely impact consumer spending in the short to medium term,
which creates a more uncertain outlook for retailers. Higher interest rates have narrowed the spread between yields and cost of
debt which adds to the level of valuation uncertainty as at the balance date and, all else equal, creates a risk that capitalisation
rates may increase in the short term.
The Group is in the process of identifying the impact of climate change on the business and assets. The valuers made no explicit
adjustments in respect of climate change matters. However, the Group and valuers anticipate that climate change could have
a greater influence on valuations in the future as investment markets place a greater emphasis on this topic.

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59
3.2 Investment properties (continued)
Impact on values at 31 March 2022
The impact of COVID-19 on property valuation inputs has reduced over time, with valuers benefiting from greater market
certainty and having accounted for the negative effects of the pandemic during previous periods. The valuers have made
deductions for the costs of estimated rent relief to tenants for occupancy disruption resulting from pandemic-related impacts.
This is consistent with the approach taken for the valuations prepared as at 31 March 2021. As at 31 March 2022, capitalisation
rates and discount rates contracted, on average, across the investment portfolio on the back of increasing levels of investment
certainty relative to the prior period.
For the year ended 31 March 2022 the Group reported a fair value gain of $120.5 million.
Seismic uncertainty
The Group is committed to upgrading the seismic resilience of its buildings to appropriate New Building Standards (NBS).
Detailed Seismic Assessments (DSA) continue to be undertaken for the Group’s buildings. A DSA verifies a building’s NBS rating
and assists in the design of remediation solutions, where required.
The cost assessments for seismic works required to increase NBS ratings contain uncertainty. The level of accuracy of design
solutions and cost estimates can vary as the design and remediation process progresses. Initially, estimates may be based
on the structural plans of a building, which can sometimes change significantly once more intrusive building investigations
are carried out. Therefore, costs for remediation works may fluctuate, and the costs associated with current or imminent
remediation works will be more accurate than those for a project in the early phases of investigation or planning.
The process undertaken and standards which are applied in seismic assessments evolve over time as the engineering
profession’s understanding of seismic events develops. This means that the outcome of seismic assessments may be subject
to change over time. Changes to seismic standards (or the interpretation and application of existing seismic standards) could
result in buildings no longer meeting the minimum seismic standards deemed appropriate by the Group, and may require the
Group to undertake further seismic remediation works.
Valuations for some of the Group’s buildings contain deductions for costs associated with identified seismic remediation
works. The cost deductions are typically based on external quantity surveyor assessments with additional allowances for
professional fees and other associated costs. In some instances the valuer has assessed additional costs for potential works
to buildings which have not been subject to a DSA and/or made additional allowances for escalation and profit and risk.
In some cases the Group has become aware of potential remediation requirements from recent preliminary investigations and
in these instances the Group has provided general provisions to the valuer for inclusion in the valuations. These provisions are
high level allowances pending the outcome of further investigations.
These allowances are based on the best information available at the time of valuation but may be subject to change as
circumstances and standards continue to evolve.

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3.2 Investment properties (continued)
Valuation inputs
A valuation is determined based on a range of unobservable inputs. These are unobservable as they are not freely available or
explicit in the marketplace but rather analysed from transactional data that has taken place in similar market circumstances to
that prevailing at the date of valuation. Refer to note 1.7 for further information on the fair value hierarchy.
The Group’s investment property values contain unobservable inputs in determining fair value, some of which can be
described as ‘key unobservable inputs’ where significant judgement is applied in determining the input and a change to any
one of these inputs could significantly alter the fair value of an investment property.
Key unobservable inputs are the capitalisation rate, discount rate, terminal capitalisation rate, market rent and growth rates.
The table below sets out these key unobservable inputs and the ranges adopted by the valuers across the various properties
making up the Group’s mixed-use and
office portfolios. The retail portfolio has been excluded in the current and prior years in
alignment with the Group's strategy.
The impact of COVID-19 has been largely reversed and can be seen in the analysis below through the general strengthening
in metrics from 2021 to 2022. This is mainly evident through the capitalisation rate and discount rates metrics, which have
contracted (decreased), and the growth rates, which have expanded (increased), having an effect of increasing the fair value.
The lower end of the growth rate range for the mixed-use portfolio is now at nil growth which is an improvement relative to the
prior year which saw some negative growth forecast. These metrics indicate a range across all assets in that portfolio, so they
don’t affect all properties, and typically relate to the early year or years of the cash flow so they don’t continue across the full
discounted cash flow horizon.
Class of property
Inputs used to measure fair value
Range of significant
unobservable inputs
Sensitivity
2022
2021
Mixed-use
1
Core capitalisation rate
5.3% - 6.5%
5.5% - 6.6%The higher the capitalisation rates and
discount rate, the lower the fair value.
Other income capitalisation rate
5.5% - 9.0%
5.5% - 6.9%
Discount rate
7.3% - 8.0%
7.0% - 8.3%
Terminal capitalisation rate
5.6% - 6.6%
5.6% - 6.6%
Gross market rent (per sqm)
2
$372 - $794
$381 - $787The higher the market rent and growth rate,
the higher the fair value.
Rental growth rate (per annum)
0.0% - 3.0%
-2.3% - 3.9%
OfficeCore capitalisation rate
4.5% - 5.8%
4.8% - 5.9%The higher the capitalisation rates and
discount rate, the lower the fair value.
Discount rate
6.0% - 6.8%
6.5%- 6.9%
Terminal capitalisation rate
4.8% - 6.0%
4.9% - 6.3%
Gross market rent (per sqm)
2
$505 - $712
$486 - $670The higher the market rent and growth rate,
the higher the fair value.
Rental growth rate (per annum)
0.0% - 3.0%
1.0% - 3.5%
1Mixed-use excludes adjoining properties located at Sylvia Park.
2Weighted average by property.
These key inputs are explained above.

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3.2 Investment properties (continued)
Valuation sensitivity
A sensitivity analysis that shows how a change to capitalisation and discount rates affects the value of the Group’s portfolio is
provided below. The metrics chosen are those single-value inputs where movements are likely to have the most significant impact
on the fair value of investment properties.
The capitalisation rate relates to the income capitalisation approach and the discount rate relates to the discounted cash flow
approach. Generally, a change in the capitalisation rate is accompanied by a directionally similar change in the discount rate. The
table below assesses each of these inputs in isolation and assumes all other inputs are held constant.
31 March 2022
Adopted
value
Capitalisation rate
- 25bp
Capitalisation rate
+ 25bp
Discount rate
- 25bp
Discount rate
+ 25bp
Mixed-use
Actual valuation ($000)1,911,577
Impact of assumption change ($000)94,300(84,400)36,400(36,300)
Impact of assumption change (%)4.9(4.4)1.9(1.9)
Office
Actual valuation ($000)1,042,300
Impact of assumption change ($000)59,500(53,900)19,700(20,300)
Impact of assumption change (%)5.7(5.2)1.9(1.9)
31 March 2021
Adopted
value
Capitalisation rate
- 25bp
Capitalisation rate
+ 25bp
Discount rate
- 25bp
Discount rate
+ 25bp
Mixed-use
Actual valuation ($000)1,623,000
Impact of assumption change ($000)78,300(68,200)30,100(29,400)
Impact of assumption change (%)4.8(4.2)1.9(1.8)
Office
Actual valuation ($000)1,001,600
Impact of assumption change ($000)52,900(48,100)19,000(18,400)
Impact of assumption change (%)5.3(4.8)1.9(1.8)

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3.2 Investment properties (continued)
The valuation of investment properties is complex with a number of interrelated key inputs and assumptions.
When calculating the income capitalisation value, the gross market rent has a strong interrelationship with the core capitalisation rate.
An increase in the gross market rent and an increase in the core capitalisation rate could potentially offset the impact to fair value.
The same can be said for a decrease in each input. A directionally opposite change in the two inputs could potentially magnify the
impact to the fair value.
When calculating the discounted cash flow value, the discount rate has a strong interrelationship with the terminal capitalisation rate.
An increase in the discount rate and a decrease in the terminal capitalisation rate could potentially offset the impact to fair value. The
same can be said for an opposite movement in each input. A directionally similar change in the two inputs could potentially magnify
the impact to the fair value.
The following table explains the key inputs used to measure fair value for investment properties.
Valuation techniques
Income capitalisation approachA valuation technique which determines fair value by capitalising a property's core net income at
an appropriate, market derived rate of return with subsequent capital adjustments for near-term
events, typically including letting up allowances, capital expenditure and the difference between
contract and market rentals.
Discounted cash flow approachA valuation technique which requires explicit assumptions to be made regarding the prospective
income and expenses of a property over an assumed holding period, typically 10 years. The
assessed cash flows are discounted to present value at an appropriate, market-derived discount
rate to determine fair value.
Residual approachA valuation technique used primarily for property which is undergoing, or is expected to
undergo, redevelopment. Fair value is determined through the estimation of a gross realisation on
completion of the redevelopment with deductions made for all costs associated with converting
the property to its end use including finance costs and a typical profit margin for risks assumed by
the developer.
Unobservable inputs within the income capitalisation approach
Gross market rentThe annual amount for which a tenancy within a property is expected to achieve under a new arm's
length leasing transaction, including a fair share of property operating expenses.
Core capitalisation rateThe rate of return, determined through analysis of comparable market-related sales transactions,
which is applied to a property's core net income to derive value.
Other income capitalisation rateThe rate of return which is applied to other, typically variable or uncontracted, sources of property
income to derive value and that is assessed with consideration to the risks in achieving each
income source.
Unobservable inputs within the discounted cash flow approach
Discount rateThe rate, determined through analysis of comparable market-related sales transactions that is
applied to a property's future net cash flows to convert those cash flows into a present value.
Terminal capitalisation rateThe rate which is applied to a property's core net income at the end of an assumed holding period
to derive an estimated future market value.
Rental growth rateThe annual growth rate applied to market rents over an assumed holding period.

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3.3 Deferred tax
2022
$000
2021
$000
Deferred tax assets
Interest rate derivatives
-
4,520
Deferred tax liabilities
Interest rate derivatives
(659)
-
Depreciation recoverable
(96,023)
(88,801)
Deferred leasing costs and other temporary differences
(11,780)
(10,237)
(108,462)
(99,038)
Net deferred tax liabilities(108,462)
(94,518)
Recognition and measurement
Deferred tax is provided for all taxable temporary differences between the carrying amounts of assets and liabilities for financial
reporting purposes and the amounts used for taxation purposes. Deferred tax assets are recognised to the extent that it is
probable that future taxable profits will be available to utilise them. For deferred tax assets or liabilities arising on investment
property, it is assumed that the carrying amounts of investment property will be recovered through sale. Deferred tax is
disclosed on a net basis, as the deferred tax assets and the deferred tax liabilities relate to the same taxation authority.
The carrying amount of deferred tax assets is reviewed at each balance date and reduced to the extent that it is no longer
probable that sufficient taxable profit will be available to allow all or part of the deferred tax asset to be utilised.
Deferred tax assets and liabilities are measured at the tax rates that are expected to apply to the year when the asset is realised
or the liability is settled, based on tax rates (and tax laws) applicable at balance date.

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3.4 Funding
3.4.1 Interest bearing liabilities
The Group's secured interest bearing liabilities are as follows:
2022
$000
2021
$000
Bank loans - total facilities
850,000
825,000
Bank loans - undrawn facilities
(215,000)
(252,000)
Bank loans - drawn facilities
635,000
573,000
Fixed-rate green bonds - current
-
125,664
Fixed-rate green bonds - non-current
500,944
351,197
Fixed-rate green bonds - amortised cost
500,944
476,861
Interest bearing liabilities1,135,944
1,049,861
2022
$000
2021
$000
Face value of fixed-rate green bonds - current
-
125,000
Face value of fixed-rate green bonds - non-current
500,000
350,000
Face values500,000
475,000
2022
2021
Weighted average interest rate for drawn debt
(inclusive of bonds, active interest rate derivatives, margins and line fees)
3.85%
4.19%
Weighted average term to maturity for the combined facilities
3.4 years
2.9 years
Recognition and measurement
All interest bearing liabilities are initially recognised at the fair value of the consideration received, less directly attributable
transaction costs. After initial recognition, they are subsequently measured at amortised cost using the effective interest rate
method whereby the transaction costs are spread over the expected life of the instrument.

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3.4.1 Interest bearing liabilities (continued)
Bank loans
The bank loans are provided by ANZ Bank New Zealand, Bank of New Zealand, China Construction Bank Corporation (New Zealand
Branch), Commonwealth Bank of Australia, The Hongkong and Shanghai Banking Corporation (HSBC) and Westpac New Zealand
(unchanged from 31 March 2021).
In May 2021, the Group refinanced $700 million of bank debt facilities and reduced the overall bank facilities from $825 million to
$800 million. In August 2021, the Group refinanced a further $100 million of bank debt facilities.
In March 2022, the Group extended the overall bank facilities from $800 million to $850 million. In April 2022, the Group extended
the overall bank facilities by a further $100 million. Refer to note 5.5 for further information.
Fixed-rate green bonds
On 19 July 2021, the Group raised $150 million through the issue of seven-year fixed-rate green bonds. On 20 August 2021, the Group
repaid $125 million of fixed-rate green bonds that matured on this date.
The following table provides details of the Group's fixed-rate green bonds:
NZX code
Value of issue
$000
Date
issued
Date of
maturity
Interest
rateInterest payable
Fair value
2022
$000
Fair value
2021
$000
KPG010-6-Aug-1420-Aug-216.15%February, August
-
127,362
KPG020125,0007-Sep-167-Sep-234.00%March, September
125,465
131,858
KPG030125,00019-Dec-1719-Dec-244.33%June, December
125,982
136,421
KPG040100,00012-Nov-1812-Nov-254.06%May, November
99,697
108,120
KPG050150,00019-Jul-2119-Jul-282.85%January, July
135,387
-
Fixed-rate green bonds
500,000
486,531
503,761
The fair value of the fixed-rate green bonds is based on their listed market prices at balance date and is classified as Level 1 in the fair
value hierarchy (2021: Level 1). Refer to note 1.7 for further information on the fair value hierarchy.
Security
The bank loans and fixed-rate green bonds are secured by way of a Global Security Deed (the Deed). Pursuant to the Deed, a security
interest has been granted over all of the assets of the Group. No mortgage has been granted over the Group's properties, however,
the Deed allows a mortgage to be granted if an event of default occurs.

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3.4.2 Interest rate derivatives
The Group is exposed to changes in interest rates and uses interest rate derivatives to mitigate these risks (commonly referred to as
interest rate swaps).
The following table provides details of the fair values, notional values, terms and interest rates of the Group's interest rate derivatives.
2022
$000
2021
$000
Interest rate derivative assets - non-current
3,604
2,822
Interest rate derivative liabilities - current
(175)
-
Interest rate derivative liabilities - non-current
(1,076)
(18,965)
Net fair values of interest rate derivatives2,353
(16,143)
Notional value of interest rate derivatives - fixed-rate payer - active
315,000
290,000
Notional value of interest rate derivatives - fixed-rate receiver - active
1
40,000
40,000
Notional value of interest rate derivatives - fixed-rate payer - forward starting
50,000
50,000
Notional values405,000
380,000
Fixed-rate payer swaps:
Weighted average term to maturity - active
1.9 years
2.6 years
Weighted average term to maturity - forward starting
6.6 years
5.5 years
Weighted average term to maturity2.5 years
3.1 years
Fixed-rate payer swaps:
Weighted average interest rate - active
2
2.94%
2.98%
Weighted average interest rate - forward starting
2
2.67%
2.27%
Weighted average interest rate2.90%
2.87%
1The Group has $40 million of fixed-rate receiver swaps for the duration of the $100 million KPG040 fixed-rate green bonds. The effect of the fixed-rate receiver swaps is to
convert a portion of the bond to floating interest rates.
2Excluding fees and margins.

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3.4.2 Interest rate derivatives (continued)
Recognition and measurement
Interest rate derivative instruments are initially recognised at fair value on the date on which a derivative contract is entered
into and are subsequently re-measured to fair value each balance date exclusive of accrued interest. Fair values at balance date
are calculated to be the present value of the estimated future cash flows of these instruments. Transaction costs are expensed
on initial recognition and recognised in profit or loss. Derivatives are carried as assets when their fair value is positive and as
liabilities when their fair value is negative.
The Group does not designate any derivatives into hedging relationships. Gains or losses arising from changes in fair value of
interest rate derivatives are recognised in profit or loss.
Key estimate: fair value of interest rate derivatives
The fair values of interest rate derivatives are determined from valuations prepared by an independent treasury advisor using
valuation techniques classified as Level 2 in the fair value hierarchy (2021: Level 2). Refer to note 1.7 for further information on
the fair value hierarchy. These are based on the present value of estimated future cash flows based on the terms and maturities
of each contract and the current market interest rates at balance date. Fair values also reflect the current creditworthiness
of the derivative counterparties. These values are verified against valuations prepared by the respective counterparties. The
valuations were based on market rates at 31 March 2022 of between 1.53% for the 90-day BKBM and 3.38% for the 10-year swap
rate (2021: 0.35% and 1.97%, respectively).

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3.4.3 Capital management
The Group's capital includes equity and interest bearing liabilities. The Group maintains a strong capital base to ensure investor,
creditor and market confidence and to sustain the Group's ongoing activities. The impact of the level of capital on shareholder returns
and the need to maintain a balance between the higher returns that might be possible with greater gearing and the advantages and
security afforded by a sound capital position is managed by the Group. The Group is subject to the capital requirement imposed by
the Group's Senior Facilities Agreement governing its interest bearing liabilities which requires that total finance debt be maintained
at no more than 45% of the total tangible assets of the Group. However, the Group actively manages its debt to its internal treasury
policy which sets a target gearing range of 25% to 35%. The Group has complied with its Senior Facilities Agreement capital
requirement at all times throughout the year.
The Group actively manages liquidity risk to ensure that it is able to access sufficient funds on a timely basis to meet operational
expenses, capital and debt expiry commitments as and when they fall due. To enhance its access to a range of funding sources, the
Group has secured credit ratings from S&P Global Ratings. To minimise liquidity risk, the Group ensures that it maintains sufficient
capacity in its overall debt facilities to cover projected debt (current debt plus Board approved capital commitments), has ready
access to sufficient cash reserves or available debt drawdowns, and reliably forecasts its expected cash requirements. Further detail
on liquidity risk is provided in note 4.3.
Dividend payments are based on a range of factors, including with particular reference to the Group’s adjusted funds from operations
(AFFO), which is the primary basis on which dividend amounts are determined. AFFO is a non-GAAP performance measure used by
the Group to determine underlying and recurring cash flows from operations. AFFO is calculated with reference to the guidelines
established by the Property Council of Australia. In determining a dividend payment, the Group will have regard to, amongst other
things, the solvency requirements under the Companies Act 1993, its banking and green bond covenants and internal financing
targets, its future investment plans, current and forecast earnings, operating cash flows, and the economic climate and competitive
environment. Having regard to these matters, the Group will target a dividend payout ratio of approximately 90% to 100% of AFFO.
At balance date, the market capitalisation of the Group (being the 31 March 2022 closing share price, as quoted on the NZX Main
Board, multiplied by the number of shares on issue) was below the carrying amount of the Group’s net assets and shareholders’ funds.
In considering the difference, the Group notes that 99% of total assets at 31 March 2022 are investment properties which are carried
at fair value as detailed in note 3.2.
Factors that may influence market capitalisation include, amongst other things:
•
Broader market and investor sentiment
•
Property market segment sentiment, particularly with regard to retail assets
•
Effect of leverage of debt funding and including corporate overheads
•
The level of uncertainty due to the impact of COVID-19 and its impact on the New Zealand and global economies
•
The level of uncertainty due to the Russia/Ukraine conflict and the impact on the New Zealand and global economies
•
The impact of rising interest rates, inflation, supply chain issues and other market factors.
In the review of valuations and the considerations around fair value determined by the independent valuers (as disclosed in note 3.2),
and having considered the influencing factors above, the Group considers the carrying amount of net assets is appropriate.

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3.5 Trade and other payables
2022
$000
2021
$000
Trade creditors
34,998
31,312
Interest and finance charges payable
1,607
1,316
Development costs payable
18,528
12,824
Employment liabilities
4,640
4,439
Rent in advance
1,301
1,690
Goods and Services Tax payable
1,880
1,684
Trade and other payables62,954
53,265
Recognition and measurement
Trade and other payables are carried at amortised cost and due to their short-term nature are not discounted. Provisions are
recognised when the Group has a legal or constructive obligation as a result of a past event, it is probable that a future outflow
of cash or other benefit will be required and a reliable estimate can be made of the amount of the obligation.
3.6 Equity
3.6.1 Share capital
The following table provides details of movements in the Group’s issued shares:
20222022
20212021
Number
000
Amount
$000
Number
000
Amount
$000
Balance at the beginning of the year
1,569,3691,661,916
1,569,0881,660,961
Issue of shares:
Long-term incentive plan - shares issued
725-
281-
Long-term incentive plan - shares vested
-829
-439
Long-term incentive plan - shares forfeited
-690
-444
Employee share ownership plan - shares vested
-64
-72
Balance at the end of the year1,570,0941,663,499
1,569,3691,661,916
There are no shares held by Pacific Custodians (New Zealand) Limited (the LTI Trustee) for the Group’s legacy long-term incentive
plan (2021: 563,315 shares, at a cost of $0.8 million). Refer to note 3.6.4 for further information on share-based payments.