Latest news with #buildtorent
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.
Yahoo
18-05-2025
- Business
- Yahoo
'Build baby build' to tackle housing crisis
Hundreds of millions of pounds could be invested in housing in Scotland if the Scottish government had clearer policies, a leading businessman has claimed. Sir Tom Hunter said that he knew of developers who were choosing to take "build to rent" projects to Birmingham or Manchester because they were unsure of how rent caps would work in Scotland. Social Justice Secretary Shirley Anne Somerville defended the principle of having rent controls during a cost of living crisis, but said legislation currently going through Holyrood would give developers the certainty they need about the policy. And she said ministers were doing a "tremendous amount of work" with private firms to improve the planning process. 'We've been living in fear of eviction for four years' What is a housing emergency? Scottish government declares national housing emergency In a wide-ranging interview Sir Tom also called for Scotland to be more like Singapore in bid to improve the education system and deliver a better health service. And he said ministers should be paid more in a bid to attract the "best talent" into politics. Last May the Scottish government declared a national housing emergency. But Sir Tom told BBC Scotland's The Sunday Show the crisis could be solved "tomorrow morning". He added: "It's very simple. Build baby build, to take a phrase from over the pond. "To solve the housing crisis you need to build more houses. Really? That's it." The entrepreneur said housing investors allocate their investment where they understand the policy. He said: "I know of hundreds of millions of pounds that are sitting on the sidelines, not coming to Scotland because the investors go: 'We are not quite sure what the Scottish government's housing policy is. Rent cap? No rent cap? What is it? "We will just go to Manchester. We will just go to Birmingham. "And therefore sort the policy. Sort it tomorrow and hundreds of millions of pounds will flow into Scotland." The businessman said a joined-up approach would also create opportunities for apprentices. Ms Somerville, who also appeared on The Sunday Show, said she held talks with representatives of investors in the build to rent market last week. She added: "While we have had a disagreement about whether rent controls should come to Scotland or not, the government's been very clear that it should. "But we are very clear to do that in a way that will provide that certainty for private investors." The minister said the housing bill that is currently going through parliament had a formula on rent caps and added the change was made after listening to private developers. Meanwhile, Sir Tom also told the programme that ahead of the Holyrood election next year he wanted to look at "the big ideas, the bold ideas for Scotland." He added: "If we look at where we are, a state of the union - not in a political sense - but our education standards are falling, our health service is struggling and we have a lacklustre economy. "If this was a business, which is my background, I would be looking to see where my competitors were doing better than me." Sir Tom commissioned a report on what lessons Scotland could learn from Singapore as he said it had one of the best GDPs of capita in the world. He also highlighted the fact that the prime minister of Singapore earns $2.2m Singapore Dollars (£1.27m). In comparison First Minister John Swinney earns £165,000. Sir Tom said: "Countries with the best talent win. "Do we have the best talent running our country?" Asked to answer his own question, he replied: "I would say we could do better. "We need to encourage better people into politics. "The hardest job in this country is running the country."
BBC News
18-05-2025
- Business
- BBC News
'Build baby build' to tackle housing crisis
Hundreds of millions of pounds could be invested in housing in Scotland if the Scottish government had clearer policies, a leading businessman has claimed. Sir Tom Hunter said that he knew of developers who were choosing to take "build to rent" projects to Birmingham or Manchester because they were unsure of how rent caps would work in Scotland. Social Justice Secretary Shirley Anne Somerville defended the principle of having rent controls during a cost of living crisis, but said legislation currently going through Holyrood would give developers the certainty they need about the she said ministers were doing a "tremendous amount of work" with private firms to improve the planning process. In a wide-ranging interview Sir Tom also called for Scotland to be more like Singapore in bid to improve the education system and deliver a better health he said ministers should be paid more in a bid to attract the "best talent" into May the Scottish government declared a national housing Sir Tom told BBC Scotland's The Sunday Show the crisis could be solved "tomorrow morning".He added: "It's very simple. Build baby build, to take a phrase from over the pond."To solve the housing crisis you need to build more houses. Really? That's it."The entrepreneur said housing investors allocate their investment where they understand the said: "I know of hundreds of millions of pounds that are sitting on the sidelines, not coming to Scotland because the investors go: 'We are not quite sure what the Scottish government's housing policy is. Rent cap? No rent cap? What is it?"We will just go to Manchester. We will just go to Birmingham. "And therefore sort the policy. Sort it tomorrow and hundreds of millions of pounds will flow into Scotland."The businessman said a joined-up approach would also create opportunities for apprentices. Ms Somerville, who also appeared on The Sunday Show, said she held talks with representatives of investors in the build to rent market last added: "While we have had a disagreement about whether rent controls should come to Scotland or not, the government's been very clear that it should."But we are very clear to do that in a way that will provide that certainty for private investors."The minister said the housing bill that is currently going through parliament had a formula on rent caps and added the change was made after listening to private developers. Meanwhile, Sir Tom also told the programme that ahead of the Holyrood election next year he wanted to look at "the big ideas, the bold ideas for Scotland."He added: "If we look at where we are, a state of the union - not in a political sense - but our education standards are falling, our health service is struggling and we have a lacklustre economy."If this was a business, which is my background, I would be looking to see where my competitors were doing better than me."Sir Tom commissioned a report on what lessons Scotland could learn from Singapore as he said it had one of the best GDPs of capita in the also highlighted the fact that the prime minister of Singapore earns $2.2m Singapore Dollars (£1.27m).In comparison First Minister John Swinney earns £165, Tom said: "Countries with the best talent win. "Do we have the best talent running our country?"Asked to answer his own question, he replied: "I would say we could do better."We need to encourage better people into politics."The hardest job in this country is running the country."
