Property for Industry Ltd has finalised an agreement to buy an industrial property to be developed at Tidal Rd in Mangere for a net $34.2 million.
Aintree Group Ltd will develop 10,410m² of warehouse, 2640m² of breezeway canopies & 740m² of offices for established Auckland logistics provider Supply Chain Solutions (NZ) Ltd, with a 12-year leasing starting on project completion.
PFI chief executive Simon Woodhams said yesterday: “The acquisition of the Tidal Rd development is an example of one half of the strategy we announced in February this year: to start replacing PFI’s non-core properties with quality industrial properties in sought-after areas.”
He said the lease would provide fixed rental growth of 2.5%/year, and PFI estimated the project would give it a 5.35% return.
PFI expects to make an initial settlement in October, and expects the project to be completed in February 2021.
Attribution: Company release.