More facts to chew on Mr Beagle ... 1. The suburb of Stonefields is 62 hectares approx. 2. The average new build retirement village is 5 to 7 hectares 3. The advice to the market that Drury is so far advanced is new information and 'should have' the SP bouncing up. The market is fickle so lets see what happens
Look at page 23 of the report - KPG management already consider Northlands and The Plaza GONE.
portfolio now listed as 4 “mixed use” properties & 4 office complexes. The additional 4 “retail” only assets present a year ago are no longer considered as either part of the core portfolio or have been “reclassified”.
50% of Centre place north has been included as “properties held for sale” (along with plaza & northlands malls). The other 50% of Centre place, along with westgate lifestyle, are to be listed under “other property”.
Last edited by LaserEyeKiwi; 24-05-2021 at 09:50 AM.
“Properties held for sale” currently have an asset value of $347.5 million dollars. That is essentially the ballpark (low end minimum) for what we should expect KPG receive for the properties. With only 31% debt gearing ratio currently, there is going to be a lot of cash hitting KPG accounts this year.
This conceivably opens up the possibility or AFFO dividend payout increasing to 100%, possibly even a significant special dividend. However I wouldn’t mind if they kept most of it to allow for rapid development in Drury & build to rent towers within current gearing targets.
Wow look at the geographic “diversification” map. KPG “diversified” right out of everywhere below Hamilton (apart from some secure government filled office towers in wellington).
looks like they have heavily reduced earthquake risks to portfolio now.
More facts to chew on Mr Beagle ... 1. The suburb of Stonefields is 62 hectares approx. 2. The average new build retirement village is 5 to 7 hectares 3. The advice to the market that Drury is so far advanced is new information and 'should have' the SP bouncing up. The market is fickle so lets see what happens
Opportunity galore here
The company’s plans for the development of a 51-hectare master-planned community at Drury made substantial progress in FY21, with the Minister for the Environment currently processing a Fast-track application for the project under the COVID-19 Recovery Act 2020. If successful, the application could enable earthworks to begin at Drury in the 2022 financial year (FY22), up to three years ahead of schedule. This acceleration of the project timeline will help Kiwi Property unlock housing and create jobs in the Drury area.
Some caution is warranted here. I don't pretend to have any planning insights in terms of which projects may or may not be approved but clearly that approval may or may not happen.
Ecclesiastes 11:2: “Divide your portion to seven, or even to eight, for you do not know what misfortune may occur on the earth.”
Ben Graham - In the short run the market is a voting machine but in the long run the market is a weighing machine
Some caution is warranted here. I don't pretend to have any planning insights in terms of which projects may or may not be approved but clearly that approval may or may not happen.
said on earnings call:
”hope to commence earthworks at Drury in near future”
“If fast track application successful - 2 year earth moving & infrastructure program costing $50 million”
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Originally Posted by Beagle
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