Wellington landlord's profit surges
AMP NZ Office made a net profit after tax of $45.1 million for the June year, a big improvement on the previous year's $10.4m profit, which was hit by a big loss on the value of ANZO's property portfolio.
ANZO is a major owner of prime property in Wellington and Auckland, recently buying the Bowen Campus for $50.4 million, after earlier selling its Chews Lane property in the capital.
The company said it planned to announce a new company name shortly, which would take effect from the end of September.
The company's portfolio was worth $1.32 billion at balance date. ANZO currently owns 15 office buildings.
ANZO posted a $36.3 million loss on its property portfolio in the 2011 June year, but posted a gain of $5.5m this year, boosting the net profit.
The portfolio is 94 per cent occupied, with an average lease term of 5.9 years. At the start of the financial year the total occupancy was down to 89 per cent, and the rise to 94 per cent was a "terrific result" ANZO chief executive Scott Pritchard said.
Net operating income was $51.3 million, compared with $61.1 million in the previous June year.
Annual rental income was down 7.1 per cent to $127.3 million, almost entirely due to selling the Wellington Chews Lane property, the departure of Westpac and Bank of New Zealand from the portfolio and the redevelopment of Auckland's ANZ Centre.Excluding those events, on a like for like basis, income was up 3.4 per cent, due to higher occupancy in Zurich House in Auckland.
In Wellington ANZO owns the State Insurance Tower, Vodafone on the Quay, 171 Featherston Street, 125 The Terrace, No. 1 and 3 The Terrace, Pastoral House, Mayfair House, AXA Centre, Bowen Campus and Deloitte House.
In Auckland it owns the PricewaterhouseCoopers Tower, ANZ Centre, SAP Tower, AMP Centre and Zurich House.
ANZO shareholders will get a fourth quarter dividend of 1.26 cents a share, with payment on September 13.
ANZO shares opened today at 98c. The company said its net tangible assets were worth 88c a share.
- © Fairfax NZ News
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