The Manson family is selling one of the buildings in Telecom's headquarters to property syndicator Augusta Funds Management for $65 million.
The lease for Building C, Telecom Place, 167 Victoria St in Auckland is being varied to provide a 10-year lease to Telecom New Zealand until 31 May 2024 with the rent during the term increased annually by 3 per cent.
Augusta intends to offer the property to the market by way of syndication before the scheduled October 1 settlement date. The offer will require $39m of investor equity to be raised in units of $50,000 each.
The offer is fully underwritten, with Augusta Capital agreeing to underwrite $25m of the required $39m. The balance is being funded through new debt facilities. The offer is expected to open in mid-July.
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