Two of the country's major property syndicators, KCL Group and Commercial Investment Properties, say they're joining forces to create an entity with about NZ$800 million worth of assets under management enabling the combined group to make bigger acquisitions.
In a letter addressed to "valued industry associates" and potential investors, the two say they've agreed terms of a strategic alliance between the New Plymouth-based and Bryce Barnett owned KCL, and the Cheryl Macaulay owned Commercial Investment Properties, which has its roots in Timaru.
"The new combined enterprise will have significant market presence with around $800 million of assets under management, a portfolio of over 160 properties across New Zealand and in Brisbane, a wider network of industry contacts and a larger pool of investors," the firms say.
"This new direction allows greater scope for larger, strategic acquisitions - such as the successful tender for three Countdown Supermarkets recently (combined value of over $36 million). We believe that our companies have an excellent cultural fit and exceptional operational synergies and we will strive to maintain industry leading customer service, performance and transparency."
The letter says Barnett will be managing director of the new entity.
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