Hastings Distribution Centre Property LP
Commercial Property
The law normally requires people who offer financial products to give information to investors before they invest. This requires those offering financial products to have disclosed information that is important for investors to make an informed decision. The usual rules do not apply to this offer if you are a person who comes within Schedule 1, clause 3(2)(a)-(c) or 3(3)(a)-(b)(ii) (inclusive) of the Financial Markets Conduct Act 2013. This includes where the amount invested upfront by the investor (plus any other investments the Investor has already made in the financial products) is $750,000 or more.
If you fall within Schedule 1, Clause 3 of the FMCA, as a result of this exclusion, you may not receive a complete and balanced set of information. You will also have fewer other legal protections for this investment. Investments of this kind are not suitable for retail investors. Ask questions, read all documents carefully, and seek independent financial advice before committing yourself.
Offer Summary
The total amount being raised is $16,250,000 representing the total of Limited Partnership equity.
The offer will close on 8 November 2019 or earlier if fully subscribed.
The proceeds of the offer will be used, by the Limited Partnership, to acquire the Wattie’s Distribution Centre industrial property complex, located at 113 Elwood Road, Hastings, which is fully tenanted by Heinz Wattie’s Limited and Tomoana Warehousing Limited.
The Property is being acquired from Asset Plus Investments Ltd for at a purchase price of $29,100,000. The Property was valued by Bayleys Valuation Limited (“Bayleys”) on 26 July 2019 at $29,100,000. Settlement of the Property is to take place on 17 December 2019 or earlier with vendor agreement.
Mortgage funding has been arranged from Bank of New Zealand for an amount of $14,550,000 (being 50% of the purchase price) at an initial interest rate of 4.04%. There is a 100% equity
underwrite in place for the Interests being offered.
The current projected annual pre-tax net operating cash flow return yield to Limited Partners is 6.0% per annum on equity.
Watties Distribution Centre
