April 08, 2016
$200m payday for Waikato Tainui
Waikato-Tainui’s investment arm Tainui Group Holdings is to sell a half share in The Base at Te Rapa for $192.5 million.
The buyer Kiwi Property, which is New Zealand’s largest listed property company, will also manage the shopping centre.
TGH chief executive Chris Joblin says its offer of a further $197.5 million in cash and shares for other 50 percent has been referred to the tribal executive Te Arataura for consideration.
Te Arataura chair Rahui Papa says the sale includes a 120-year lease on the underlying land, which stays in Waikato- Tainui ownership under Potatau Te Wherowhero title.
The centre was built on defence land acquired in the tribe’s treaty settlement.
The partial sale of The Base is part of an effort by Waikato-Tainui to diversify its investments.
The sale proceeds will be used by TGH to reduce debt and ultimately re-invest in a balanced range of investment classes to grow jobs, increase cash returns to further a range of tribal objectives, and extend the land estate for Waikato-Tainui.
Mr Papa says TGH is retaining some land in a prime location on The Base for Waikato-Tainui to develop a Whanau Ora centre.
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