AMP NZ Office Trust has secured the Ministry of Agriculture and Forestry as the major tenant for Pastoral House in Wellington, lifting the building’s office tenant pre-commitment to 90.5%.
Thursday, November 4th 2004, 6:41AM
by The Landlord
MAF has taken a 12-year lease on 14 levels, accounting for 12,002m² or 77% of the building’s 15,580m² total net lettable area, which includes 1513m² of retail space. The trust’s executive manager, Rob Lang, said the only full floor now available for lease was level 18, the top floor, along with part of levels 2 & 4.
“Large floor plates in the Wellington cbd remain at a premium, particularly in the short term, and we are confident the balance of the space will be leased by the time the refurbishment project is fully completed in June 2005. The trust received considerable leasing interest from Government tenants and also private sector tenants during the marketing of the space,” he said.
“Securing MAF as the key tenant over a large area of the building has enhanced the expected performance of the trust’s investment in Pastoral House.”
Mr Lang said the refurbishment project was running on schedule and cost savings of more than $1.5 million had been achieved, while retaining the quality of the refurbishment. This saving, along with a higher rent owing to improving office market conditions since acquisition, had enhanced the trust’s yield on cost & refurbishment margin.
