Goodman (NZ) Limited has announced that Wynyard Precinct Holdings Limited has conditionally agreed to acquire a new office building that is being developed for Datacom in Auckland's Viaduct Quarter for $86.2 million.
Located on the corner of Gaunt St and Daldy St, and adjoining a planned linear park that will link Victoria Park to the Wynyard Quarter, the 16,735 sq m development will be purchased from Fletcher Building on completion in March 2017.
The office facility will feature large flexible floor plates and comprise 15,328 sq m of high quality commercial space, 1407 sq m of retail space and 152 car parks.
The property is designed to a five green star rating and incorporates sustainable architectural elements and energy efficient building systems.
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IT service provider Datacom will consolidate its Auckland operations into the new office facility. The privately owned local business has committed to a 15 year lease across five floors of the new building, representing around 80 per cent of the total rentable area.
With the uncommitted space providing a further value-add opportunity the acquisition is expected to provide a yield on cost of around 8.5 per cent once fully leased and income producing. The estimated value, once fully leased, is forecast to be $90 million.
To facilitate the acquisition of the completed building by Wynyard Precinct Holdings Limited, GMT has entered into a development funding arrangement with Fletcher Building whereby GMT funds the construction of the building until settlement.