Centuria Capital through its recent take over target Augusta Capital Limited will participant in a $60m capital raising by its NZ listed entity, AssetPlus to assist in the funding for 6-8 Munroe Lane, Albany, Auckland project.
Augusta Capital will seek to increase its stake in Asset Plus from 18.85% to 19.99% through a $12m participation in the equity raise.
John McBain, Centuria Joint CEO, said “Augusta Capital has continued to undertake logical initiatives for platform growth. Following the Augusta Property Fund launch and oversubscribed raise for the NZ$55m Anglesea Medical Centre within Augusta Capital Limited, the Munroe Lane initiative, when complete, will constitute a major asset backed by a long lease commitment to a quality government tenant and is a clear opportunity for the Asset Plus REIT to expand its portfolio through a blend of growth and yield.
Auckland Council will be the anchor tenant for the new office building, agreeing to lease two thirds of the total office net lettable area of 15,900m2 on a 15-year lease from completion in December 2022.
Construction is expected to commence in November 2020, with an anticipated completion date of 14 November 2022 and a targeted completion date of 16 December 2022 under the Agreement to Develop and Lease with Auckland Council.
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