Investment company The South Island Office (SIO) advised yesterday they have successfully completed the $11.00m capital raise to purchase 85 Peterborough and 829 Colombo Streets this week from vendor Christ’s College for an undisclosed purchase price.
Director Rob Farrell advised “The raise went very well, filling within 3 weeks of opening. Being able to contract the property half vacant but with a new lease already signed has resulted in an immediate forecasted ~20% uplift in capital value for the investors.”
Existing tenants, The New Zealand School of Tourism, Accent Lighting and Dalman Architecture, businesses with each over 20 years trading history, are to be joined by management school NZMA on a new 8 year lease for 2000 m2 of the former city library site on Peterborough St.
Director Farrell said “With interest rates and returns contracting at present it is pleasing to be able to locate and offer commercial property opportunities at circa 10% cash returns along with immediate capital gain”.