New Property Fund Targets $1bn, Acquires High-Tech Agri Asset

Scoop

15-07-2025

The first asset in the Erskine Owen Veritas Property Fund is set to be a $24 million smart logistics facility operated by Mr Apple, one of the countrys largest vertically integrated apple exporters and a subsidiary of NZX-listed Scales Corporation.
A new wholesale property investment fund aiming to build a $1 billion portfolio of commercial assets by 2030 is acquiring a flagship coolstore in Hawke's Bay that is transforming the way New Zealand apples are prepared for export.
The first asset in the Erskine Owen Veritas Property Fund is set to be a $24 million smart logistics facility operated by Mr Apple, one of the country's largest vertically integrated apple exporters and a subsidiary of NZX-listed Scales Corporation. The 7,000m² coolstore will serve as the Fund's cornerstone investment, under a 20-year triple net lease.
Alan Henderson, director at Erskine Owen, says the facility is a strong example of the export-aligned infrastructure the Fund will focus on.
'We chose this site as the fund's foundation because it ticks all the boxes. It is a core industrial logistics facility, under a long-term lease to a globally competitive exporter, located in a region that is vital to New Zealand's agri-economy.
'We're focused on assets that help drive New Zealand's global competitiveness and that perform well in both stable and volatile markets. These are the kinds of buildings that don't go out of fashion, that provide reliable income and that help sectors like horticulture and agribusiness perform at the highest level,' he says
The PIE Fund aims to diversify across infrastructure, healthcare, manufacturing, office and retail sectors, with a goal of reaching $1 billion in holdings within five years.
Henderson says the capital raise for the Groome Place coolstore is already underway.
'This is a Fund with a long-term growth and diversification strategy, which is intended to spread investment risk across sectors and locations. We are aiming to have $200 million in assets within 12 to 18 months and increase that to a billion dollars within four years after that.
'The asset quality here speaks for itself. There's clear investor appetite for export-aligned infrastructure backed by strong tenant covenants,' he says.
The Groome Place site itself is a leap forward for post-harvest logistics. It incorporates advanced design, automation and environmental controls to optimise throughput and quality, allowing Mr Apple to process around 3,000 bins of apples daily.
Michael Caccioppoli, head of coolstores, logistics and engineering at Mr Apple, says the new system has cut the time between orchard and packhouse by 25 percent.
'This turnaround speed directly supports export quality, and by shortening the time from picking to cooling, we're able to preserve internal fruit integrity.
'That means apples are fresher when they hit the ships. It improves shelf life, reduces quality complaints and lifts the eating experience for millions of consumers around the world, which is critical as we establish markets for new varieties,' he says.
In 2024, 72 percent of Mr Apple's exports were premium varieties like Dazzle, Posy and NZ Queen. The company aims to grow that figure to 75–80 percent by 2027. The new facility supports that ambition with optimised workflows, precision-controlled storage and lower environmental impact, using 15 to 20 percent less CO2 than older sites to slow fruit respiration and delay ripening.
Despite its scale, the coolstore is operated by just eight staff thanks to automation and system integration, enabling tight control over environmental variables. The layout has been designed to reduce handling and labour costs while accelerating the flow of fruit through to export.
Caccioppoli says the benefits go beyond product quality.
'The system helps protect margin and reduce risk in a volatile global freight market,' he says.
Henderson says investors are increasingly seeking assets with reliable returns, and with features that align with environmental, social, and governance (ESG) considerations and export relevance.
'It reinforces our view that there is real demand for high-quality, income-generating assets in this sector.
'The coolstore reflects the kind of high-performance infrastructure we're targeting – efficient, export-driven and future-ready,' he says.
The Erskine Owen Veritas Property Fund is now open to wholesale investors, offering access to income-producing infrastructure assets.1
Notes:
1 Important: The Erskine Owen Veritas Property Fund is open only to wholesale investors under the Financial Markets Conduct Act 2013. The Fund is not suitable for retail investors, and there is no product disclosure statement. This above is not an offer or invitation to invest in the Fund. It does not consider any investor's personal circumstances and is general in nature. No guarantees are made as to the performance of the Fund or any repayment of capital or income. Past performance is not indicative of future performance. Investors should obtain independent advice before investing.