Source: Radio New Zealand
Kiwi Property Group Group said the opening of Ikea drove significant foot traffic in the area. (File photo) Marika Khabazi / RNZ
The owner of Auckland’s Sylvia Park has posted a “robust” full-year result, with a higher operating profit as rental income and occupancy improved, but its bottom line fell as property valuations decreased.
Key numbers for the 12 months ended March 2026 compared with a year ago:
- Net profit $50.4m vs $56.9m
- Revenue $271.4m vs $263.7m
- Operating profit before tax $126.2m vs $116.6m
- Property valuation loss $37.8m vs $11.6m loss
- Final dividend 1.4 cents per share vs 1.35 cps
Kiwi Property Group, which was one of the country’s biggest landlords, has a vast portfolio that includes Sylvia Park, the 38-storey Vero Centre, The Base in Hamilton, and was planning a major town development in Drury.
KPG said the opening of Ikea adjacent to Sylvia Park in December had driven a significant improvement in foot traffic in the area, up nearly 8 percent over the four months since opening, compared to the prior year.
KPG said net rental income increased by 4.3 percent to $202.4 million, and the company is awaiting settlement of the $205m sale of ASB North Wharf at Auckland’s Wynyard Quarter in late May.
Its portfolio occupancy was at 99 percent, compared to 96.9 percent in the prior year, while its total portfolio was valued at $3 billion, which reflected a fair value decline of 0.9 percent amid a cooler market.
During the year, it sold The Plaza shopping centre in Palmerston North for $118.9m.
Chief executive Clive Mackenzie said KPG was focused on disciplined execution.
“Near-term priorities include progressing selective initiatives to further enhance portfolio quality, including completion of Sylvia Park’s southern enhancement project and the Vero Centre upgrade, alongside continued progress at Drury through the staged completion of land sales,” Mackenzie said.
“We will also continue to carefully manage operating costs and capital expenditure, while recycling capital from non-strategic assets where appropriate.”
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– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand