Angus McNaughton says demand for good assets will lead to high rental growth next year. Photo / Paul Estcourt
Angus McNaughton
CEO Kiwi Income Property Trust
Opening the country's largest shopping centre was certainly the highlight for the Auckland-based executive who runs the country's biggest real estate developer and investor.
What was the trust's greatest achievement?
Opening Sylvia Park has been a real highlight.
It was opened on time, on budget and fully leased. It's been a fantastic year and Sylvia Park has been incredibly successful. The performance of the trust has been incredible and across the portfolio, we have strong occupancies, good rental growth and the trust is in great shape.
And the greatest disappointment?
There hasn't been one in 2006 but 2005 was tougher because we kicked off Sylvia Park and it was a big challenge. Really, 2005 was much harder for me and 2006 has been the best year.
What do you think 2007 will bring?
The overall property fundamentals are very sound: there's good demand for good assets, little supply coming onto the market in terms of new buildings or new assets and good demand for space in the retail and office sectors. We think there will be high rental growth.
What will be the major challenges for the trust in 2007?
Completing Sylvia Park, but you can see construction is going incredibly well. The best thing early next year will be getting the new railway station there going. It will open in the first quarter of 2007. The value of that is around $5 million and the trust has paid for that. I've heard it's the first privately-funded passenger railway station in Auckland in 100 years. To achieve this, we've have to gather together various parties including Ontrack, Auckland City Council, Auckland Regional Transport Authority and the trust.
Where are you going for the holidays?
To our place at Cooks Beach in the Coromandel. I'll be fishing, playing with the kids and kayaking.
What will you be reading?
A bunch of rubbish. I walked into The Warehouse Extra and for $200, I got the top 10 best-sellers. The books have got to have plenty of pages because I read quickly.
