- $416.7 million acquisition of Telstra Data Centre in Clayton, Victoria, by Centuria Industrial REIT (ASX: CIP)
- Progress re takeover of New Zealand’s Augusta Capital Limited with 85.04% acceptances
- Centuria platform AUM growth to $9.4 billion – 50% increase from commencement of FY20
CIP Acquisitions / REIT Guidance
CIP, Australia’s largest domestic pure play industrial REIT, has released its FY20 financial results announcing FY21 FFO guidance of 17.4 cents per unit.
CIP commences FY21 in a strong position with $447 million in unconditional acquisitions announced today. Included in these acquisitions is the sale and leaseback of the Telstra Data Centre in Clayton, Victoria. The ASX 20 listed telecommunications company has committed to a 30-year lease. Post-acquisition, CIP’s Weighted Average Lease Expiry (WALE) will rise to 10.2 years.
Additionally, Centuria Office REIT (ASX: COF) released its FY20 results), which included FY21 DPU guidance of 16.5 cents per unit. COF is Australia’s largest pure-play ASX listed office REIT with 23 quality assets under management, across major domestic office markets. During FY20, $636.5 million of transactions were executed, with a WALE of 8.0 years.
Augusta Capital Takeover
As at 4 August 2020, Centuria had received acceptances for 85.04% of the total ordinary shares in Augusta and accordingly controls Augusta. The offer is scheduled to close (unless extended) on 10 August 2020. Augusta manages AUD$1.7 billion in AUM.
Once acceptances exceed 90%, Centuria has indicated that it intends to compulsorily acquire all the outstanding Augusta shares on issue, delist the company from the New Zealand stock exchange, and operate the business as a 100% subsidiary. Properly capitalised, Centuria believes Augusta’s core businesses will generate meaningful group revenues and retain a leading position in the New Zealand marketplace.
Platform Growth
Centuria’s platform has experienced rapid growth in AUM. Since 2017, CAGR growth has exceeded 34% per annum with over 50% AUM growth since the commencement of FY20.
Centuria Joint CEOs, John McBain and Jason Huljich, said, “Recent major sale and leaseback transactions with Arnott’s, and now Telstra, are excellent examples of our ability to partner with these major, iconic Australian businesses and Centuria believes the data centre acquisition represents a significant investment in telecommunications infrastructure timed to coincide with a major upswing in demand for data storage.”
“Centuria has a dual strategy of executing corporate as well as direct real estate transactions. This business model has significantly enhanced the scope of Centuria’s platform, attracting a broader range of investors and generating more diverse revenue streams for the group. The Telstra data centre acquisition, our simultaneous expansion into New Zealand and the formation of Centuria Healthcare are good examples of this diversity.”
“Our business model remains extremely robust despite current conditions. Given our unlisted distribution network has been starved of quality property funds, initial soundings indicate that the $130 million Centuria Healthcare Property Fund, to be launched imminently, will be well subscribed. With deposit rates expected to remain low for the near term, we are confident this support will endure as further unlisted funds are launched.”
Centuria Capital Limited releases its FY20 Financial Results on 12 August 2020.
Centuria NZ and Hancocks create sustainable industrial warehouse in Mangere
Centuria NZ Industrial Fund (“Centuria”) and Hancocks, who are one of the largest distributors of wine and spirits in New Zealand, are working together to further enhance the new, purpose-built 9,811sqm industrial warehouse in Mangere, Auckland, with a focus on reducing the building’s environmental footprint with sustainability initiatives. The 78 Tidal Road property was acquired by Centuria in November 2020.
6-8 Munroe Lane has officially obtained a 5 Green Star – Design & As Built NZv1.0 Certified Design Review rating
We are pleased to announce that Asset Plus‘ 6-8 Munroe Lane project in Albany, Auckland, managed by Centuria New Zealand, has officially obtained a 5 Green Star – Design & As Built NZv1.0 Certified Design Review rating. The green building rating scheme certifies projects that slash waste to landfill, responsibly sources materials and create spaces that better serve the environment and end user.
New healthcare property fund kicks off with substantial aged-care investment
Following on from successful capital raises within both the commercial and industrial property sectors totalling around $240 million last year, a new Centuria managed fund will be seeking $121 million from investors for the launch of a new healthcare property fund. The funds will be used to acquire a total of 23 properties, comprising aged care facilities located throughout New Zealand,
International Women’s Day 2022
This International Women’s Day we asked five Centurians to share their thoughts on being a working woman in 2022. Hear from our colleagues in Auckland, Sydney, Brisbane, Melbourne and Perth.
Centuria Secures $291m Aged Care Property Portfolio
$291m aged care portfolio acquisition; 38 facilities across NZ; blue-chip operator Heritage Lifecare 30-year1 sale and leaseback transaction; triple-net leases; 100% occupancy2 Acquired by two Centuria unlisted funds: Centuria New Zealand Healthcare Property Fund (NZ) – 25 assets Centuria Healthcare Property Fund (Australia) – 13 assets Leading Australasian real estate funds manager,
Billion-dollar Queenstown development dubbed ‘Alpine Britomart’ a step closer to reality
Lakeview | Taumata, the stunning residential, hospitality, and retail precinct planned as an expansion to Queenstown’s CBD has taken a significant step forward with the first stages referred into the Government’s expert consenting panel for consideration under the Fast Track Consenting Act 2020 (FTCA). Lakeview | Taumata sits on a 10-hectare elevated terrace at the edge of the CBD offering iconic views across Lake Whakatipu and the Remarkables.
Centuria NZ Settles the Acquisition of Brand New Industrial Asset on Tidal Road
The Centuria NZ Industrial Fund is pleased to announce the settlement of 78 Tidal Rd, Mangere, Auckland which was finalised on the 22nd of October for $48.9m. The property forms part of South Auckland’s latest high quality industrial and logistics hub and comprises a brand new, architecturally designed 15,000 sqm industrial facility of two warehouses with adjoining offices on a 4.98ha site.
A trans-Tasman ambition fulfilled
Mark Jennings | Newsroom An Australian property company founded by Kiwis aims to become truly Australasian following its local acquisition, Mark Jennings reports. (Content partnership) Fresh out of Auckland University, 21 year old Jason Huljich headed to Australia and got a job with another expat Kiwi trying to sort out problem properties in Sydney – properties that had fallen into disrepair or had lost tenants.
