AMP NZ's $15.3m loss

Wellington's Chews Lane Photo / supplied

Listed landlord AMP NZ Office made a $15.3 million loss on a big Wellington property it bought four years ago.

Scott Pritchard, chief executive, said it had sold its remaining retail and office investments in Wellington's Chews Lane.

The business told NZX how last year it sold a group of shops there but now it had sold 7200sq m of A-grade office space and some retail units.

The sale reflects a passing rent yield of 8.2 per cent and a yield on market rent of 7.5 per cent. Pritchard said the properties went for less than purchase price.

"We didn't redevelop it but we bought the whole thing for $77 million in 2008, sold five retail units last year for $11.7 million and the balance now for $50 million."

He attributed the loss to property values and said the business preferred to reinvest in growth assets such as its ANZ Centre on Auckland's Albert St, where refurbishment work would start within the next six months.

Its shares traded yesterday at 83c.