Latest news with #SylviaPark
Yahoo
26-05-2025
- Business
- Yahoo
Kiwi Property Group Ltd (KWIPF) Full Year 2025 Earnings Call Highlights: Strong Leasing Spreads ...
New Leasing Spreads: Up 8.3%. Property Valuations: Increased by 1.1%. Employment and Administration Expenses: Reduced by $7.5 million, a 23% decrease. Customer Visits: Increased by 600,000, a 2.2% rise. Total Rental Growth: Up 4.3% for FY25. Portfolio Occupancy: Declined from 99.3% to 96.9%. Activate Income: Increased by 30%, now approximately $7 million. Mixed-Use Sales: $1.76 billion, a 1.3% decline. Net Rental Income: Increased by 5% across the portfolio. Adjusted Funds from Operations: Down by $7 million, or 7%. Dividend: $0.054 per share, with a payout ratio of 93%. Total Property Assets: Increased to $3.3 billion. Gearing: Up to 38.4%. Weighted Average Cost of Debt: Reduced to 5.3%. Warning! GuruFocus has detected 10 Warning Signs with KWIPF. Release Date: May 25, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Kiwi Property Group Ltd (KWIPF) achieved strong new leasing spreads, up 8.3%, with property valuations marginally increasing by 1.1%. The company successfully opened its first build-to-rent development, Resido, at Sylvia Park, with 88% of apartments leased, indicating strong demand. Kiwi Property Group Ltd (KWIPF) reduced employment and administration expenses by $7.5 million, or nearly 23%, from the prior year. The company reported a 30% increase in Activate income, which includes revenue from pop-up activations, media space, and digital signage. Foot traffic at mixed-use assets increased by 2.2%, with nearly 600,000 more visits compared to the prior year, demonstrating the attractiveness of their properties. Overall portfolio occupancy declined from 99.3% to 96.9%, primarily due to tenant departures at the Vero Centre and Sylvia Park. Net rental income for the office portfolio decreased by $900,000, reflecting a softer office market. Adjusted funds from operations were down by $7 million, or 7%, due to higher finance costs and increased current tax. Total sales across the portfolio were lower by 1.6%, amidst a slowdown in the wider New Zealand retail sector. The combined valuation of the Drury landholding decreased by $11.7 million, or 6.9%, due to development spend outpacing land value growth. Q: Regarding Resido, there seems to be a change in how rents are reported. Is there a new benchmark being used? A: No, there is no change in benchmarks. Apologies if there was any confusion. - Clive Mackenzie, CEO Q: Can you provide insights on the behavior of wholesale investors in Mackersy Property given the current interest rate environment? A: We are encouraged by the quality of the management team and investment portfolio. We are starting to see initial signs of activity, and with potential interest rate cuts, we expect more activity. - Clive Mackenzie, CEO Q: Where does the FY26 dividend guidance fall within your payout policy range, and does it include assumptions around land sales? A: The payout range remains within 90% to 100%, and no land sales are included in the guidance. - Clive Mackenzie, CEO and Steve Penney, CFO Q: How are employment and admin cost reductions being achieved, and can you provide examples? A: We focus on developing our senior leadership and promoting a results-driven culture. This includes internal promotions and reducing reliance on external hires. - Clive Mackenzie, CEO Q: For the Drury land sales, when can we expect these to convert to sales? A: We expect to progress these sales through this financial year, likely more towards the second half. - Clive Mackenzie, CEO Q: Can you provide an update on the occupancy at Vero following Bell Gully's departure? A: We have about 2,700 square meters of vacancy and are in advanced discussions to fill some of this space. - Clive Mackenzie, CEO Q: How does the pricing of Drury land sales affect valuation, and when do you expect to receive proceeds? A: The pricing is supportive, and we expect proceeds around FY27 or FY28 after necessary infrastructure is in place. - Steve Penney, CFO Q: What is the expected CapEx for FY26, and how does it relate to Drury? A: We won't initiate further spend at Drury until land sales are confirmed. Total CapEx is expected to be around $60 million to $65 million, down significantly from last year. - Steve Penney, CFO For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
RNZ News
25-05-2025
- Business
- RNZ News
Kiwi Property posts profit as rent income rose, downturn eased
The iconic blue walls in the Ikea building in Sylvia Park started being installed in November 2024. Photo: Supplied One of the country's biggest landlords, Kiwi Property, is back in the black as rental income increased and the downturn in property valuations eased. Key numbers for the 12 months ended March compared with a year ago: The company, whose portfolio included Auckland's LynnMall, Sylvia Park and Vero Centre, said net rental income rose 5 percent to $194.1 million. Leaving aside one-offs, operating profit was up 7 percent to $116.2m. Chief executive Clive Mackenzie said operational cost-cutting led to a 23 percent year-on-year fall in staff and administration expenses. Recently, Kiwi Property has invested heavily in build-to-rent (BTR) apartments, marked by the opening of the country's biggest build-to-rent development, Resido, at Sylvia Park last year . However, since opening, the company has faced a "competitive" rental market, with rental supply outpacing demand. But Kiwi Property said leasing at Resido was faster than expected, with 85 percent leased in under 12 months. "While still early, initial data from ANZ Research shows that the average Resido resident is spending three times more within the wider Sylvia Park precinct than before they moved into our BTR asset," Mackenzie said. In the year ahead, key milestones for Kiwi Property included the upcoming opening of Swedish furniture giant IKEA next to its Sylvia Park centre . "With the economic downturn easing, premium retail centres like Sylvia Park are poised to accelerate their growth," the company said. Kiwi Property said IKEA would likely draw visitors from across the country. "The opening of IKEA next to our centre, scheduled for later in the calendar year, is expected to drive retail tourism and a significant boost in foot traffic for Sylvia Park, attracting new customers from across the country to visit." Sign up for Ngā Pitopito Kōrero, a daily newsletter curated by our editors and delivered straight to your inbox every weekday.
RNZ News
16-05-2025
- Automotive
- RNZ News
Cat-astrophe avoided after woman finds kitten in car engine
Cat-astrophe avoided after purrfect find in car engine. Photo: Supplied/NZ Police A woman driving on Auckland's motorway found her engine purring much more usual. She was shopping at the Syliva Park mall last week, and quickly began hearing unusual noises on the drive home. But the sounds didn't stop there. "The woman entered the motorway and could hear 'meows' from under the bonnet," Auckland motorways manager Senior Sergeant Scott Cunningham said. The driver was able to pull up behind a police motorway patrol car. "Upon closer inspection, a kitten was found tucked under the bonnet," Senior Sergeant Cunningham said. The officer managed to put the small cat in his lunch bag to keep safe while he began making calls. Police said it wasn't long before the kitten found a new home with one of Auckland's emergency call takers.
