A portfolio of five high performing retail assets has come to market across New Zealand, offering a unique opportunity to acquire significant scale and diversity in the retail market.
Boasting combined annual sales in excess of NZ$2.37 billion, the five Westfield assets located in Auckland and Christchurch provide over 280,500 square metres of gross lettable area in some of the fastest growing areas in New Zealand.
A 49% non-management interest in the property portfolio is being offered for sale through Lachlan MacGillivray and Richard Kirke of Colliers, jointly with Ryan Johnson, Jason Seymour, Chris Maher and Justin Bond of Bayleys In Association with Knight Frank.
“This is a truly unique opportunity to immediately dominate the New Zealand retail market. The centres form an integral component of Auckland’s and Christchurch’s retail and economic fabric,” MacGillivray said.
“We anticipate strong interest from Australian, New Zealand and international investors due to the appealing initial yield, scale, performance metrics, high-quality income and key metro locations in Auckland and Christchurch,” Maher added.
Features of the portfolio include circa 60-hectares of prime metro land and over 44.4 million annual visitors each year – eight times the total population of New Zealand. With considerable development potential across the whole portfolio (STCA) and an established JV structure with one of the world’s most notable managers of retail destinations, interest is expected to be high.
“New Zealand recorded strong levels of immigration and a rebound in the tourism sector following the re-opening of the border. Annual net migration has reached a record high in 2023, boosting consumer spending and demand for goods and services,” Kirke noted.
“The country stands as an increasingly coveted investment destination, offering a transparent and open market environment, as well as economic stability. With their robust sales performance and ability to add scale through further development, these prime regional shopping centres will be an attractive opportunity for many,” Johnson said.
Highlighted in the portfolio is Westfield Newmarket, New Zealand’s top performing shopping centre with a GLA of 86,899 square metres. Boasting the only David Jones department store in the country together with luxury brands including Louis Vuitton, Gucci, Balenciaga, Moncler and Saint Laurent.
Westfield Albany is the dominant retail offering on Auckland’s North Shore, with extensive land holdings for future development (STCA) and an existing GLA of 53,341 square metres. Demand is high from retailers entering the centre, with 55 new leases signed since July 2022. Major tenants include Kmart, New World, Farmers and Event Cinemas.
Westfield St Lukes is situated on the fringe of the Auckland CBD and incorporates adjacent properties with significant development potential for either mixed use or centre expansion (STCA). The current GLA is 39,777 square metres and major tenants include Kmart, Farmers, Countdown and Event Cinemas.
Westfield Manukau City is one of the main regional shopping centres in Auckland’s south, with favourable zoning strongly encouraging commercial growth and development as well as community interaction. It has a GLA of 45,280 square metres and major tenants include Farmers, Countdown and Event Cinemas.
Finally, Westfield Riccarton is the dominant shopping centre on New Zealand’s South Island with a GLA of 55,206 square metres. Major tenants are Kmart, PAK’n SAVE, Farmers and Hoyts Cinemas.