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Highlights
- Rents have fallen for the first time in 8 months across NZ, as per a prominent property website.
- Vital will conduct its AGM on 24 November 2021.
- PFI announced the acquisition of an industrial property located in Avondale, Auckland.
The latest rental data from Trade Me Property revealed that the national median weekly rent fell for the first time to $535 in September, down from $550 in August, but up 5% than the same time in 2020.
Gavin Lloyd stated that it was the smallest Y-O-Y percentage rise reported in 6 months with the rate of growth slowing for the first time since February. He added that the lockdown in August played a big role in triggering the latest decline.
On this note, let’s cast a glance at the performance of these 5 REITs.
Image source: © 2021 Kalkine Media, Data source- EODHD/Others
Precinct Properties New Zealand Limited (NZX:PCT)
Precinct declared on 21 October that its forthcoming annual meeting would be held entirely online due to current restrictions on gatherings, as well as the health and safety of the company’s stakeholders and people.
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A virtual guide has been created with information on how to participate online, and users will require the newest version of Chrome, Safari, Firefox, or Edge to do so.
PCT ended the day 0.61% in red to close at $1.635.
Stride Property Ltd & Stride Investment Management Ltd (NZX:SPG)
Given the effect of COVID-19, Stride Group fared admirably in FY21. In FY21, profit after tax from continuing activities increased to $132 million, up from a loss of $0.1 million in FY20.
For the year ended 31 March 2021, the total cash dividend for its two groups, SPL and SIML, was 9.91cps. While keeping an eye on market circumstances, the Group seeks to expand its investment management business.
SPG ended the day 0.84% in red to close at $2.35.
Vital Healthcare Property Trust (NZX:VHP)
The manager of Vital, NorthWest Healthcare Properties Management, announced the opening of the $25 million unit purchase plan (UPP) on 19 October. The UPP is part of a $140-million capital raising campaign, with VHP hoping to place additional units worth $115 million.
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Vital’s AGM will be conducted on 24 November 2021.
VHP ended the day 0.17% in green to close at $2.915.
Property for Industry Limited (NZX: PFI)
On 28 October, Property for Industry announced that it had acquired a 1436 sqm property worth $3.1 million, located at 32 Honan Place in Avondale, Auckland. The acquisition will give PFI a chance to develop an access road to PFI’s neighbouring property at 15, Jomac Place, along with extra car parking.
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The settlement of the purchased property is due to occur on 10 November 2021.
PFI ended the day flat to close at $2.94.
Kiwi Property Group Limited (NZX:KPG)
On 1 October, Kiwi property announced that it would purchase 385 Mt Wellington Highway for $27.5 million. The 7144 sqm property is situated next to Sylvia Park Lifestyle in Auckland and is currently captured by the City Impact Church.
The acquisition will open up a wide range of exciting opportunities to the west of Sylvia Park.
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The Group is due to announce its interim results for the 6 months ended 30 September 2021 on 22 November 2021.
KPG ended the day 0.87% in red to close at $1.14.
Bottom Line
Lowering of rent will be a welcome news for tenants, who have been used to seeing record-breaking rent rises in the last year.
(NOTE: Currency is reported in NZ Dollar unless stated otherwise)