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Significant interest sees Offer in Pacific Property close early

Contributor:
Fuseworks Media
Fuseworks Media

Today PMG Property Funds Management Ltd (PMG) has fully subscribed its latest Public Offer in Pacific Property Fund Limited (Pacific Property) and closed the offer ahead of schedule due to unprecedented interest from investors.

The Offer in Pacific Property has raised $42 million dollars to assist with the acquisition of two quality industrial properties at 43 Seaview Road and 120 Hutt Park Road, Seaview in Wellington.

Chief executive of PMG, the manager of Pacific Property, Scott McKenzie, says the speed at which the team has been processing investor applications in the Offer has exceeded expectations.

"We’re thrilled and quite humbled by the interest in Pacific Property," says McKenzie.

"With a forecast gross cash distribution return of 7 per cent, Pacific Property represents good value when compared to other asset classes such as term deposits which are currently returning 2.80 per cent[1] and the average rate of 4.20 per cent[2] at which the NZX50 is currently delivering.

"As the manager of Pacific Property, we have worked incredibly hard to ensure we have acquired the right properties, at the right price and for the right reasons into the Fund in order to deliver attractive and regular and reliable returns to our investors - a role we take very seriously," he says.

"Investors’ response to this latest Offer confirms the trust in PMG’s brand and investment offerings continues to grow. However, it also means a number of investors who expressed interest in this Offer have missed out. We encourage them to contact us to find out more about upcoming opportunities with PMG," he says.

Pacific Property will settle on the two industrial properties in the sought-after area of Seaview[3] on 30 September 2019, at the acquisition price of $56.17m and will take the total portfolio value to $250m.

The Seaview properties will join 12 other quality New Zealand commercial properties, which are diversified by sector, location and tenant mix within Pacific Property’s portfolio.

Those interested in other investment opportunities with PMG can contact PMG’s investor relations team.

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