31 Oct DNZ Negotiates Reduced Bank Finance Costs of $2.0 million per annum.
DNZ Negotiates Reduced Bank Finance Costs of $2.0 million per annum. 31/10/2011
DNZ Property Fund Limited has secured a revised $300m bank debt facility evenly split with its existing bankers ANZ, CBA and BNZ.
The facility comprises a $150m three year tranche and a $150m four year tranche, expiring in October 2014 and October 2015 respectively.
Further to the recently announced finance savings made by reducing the Company’s debt facility amount from $350m to $300m, the revised bank debt facility contains reduced line fees and margins when compared with the Company’s prior facility. This is expected to result in approximately $2.0m annual savings in finance costs for DNZ from 31 October 2011.
Tim Storey, Chairman of DNZ, said “Following on from a regular review of our financing arrangements, and given the current and continuing global uncertainty, the Board thought it appropriate to look to move to longer term financing. Following successful discussions with our banking partners, we have negotiated a facility that not only gives greater surety and security of funding, but also saves the Company $2.0m per annum in finance costs.”
For Further Information Please Contact:
Tim Storey, Chairman, DNZ Property Fund Limited
Mobile: 021 633 089 – Email: [email protected]
DNZ Property Fund Overview
DNZ Property Fund Limited owns one of New Zealand’s largest diversified investment property portfolios with commercial office, retail and industrial properties located in the main urban areas throughout New Zealand.
As at 30 September 2011, DNZ Property Fund owned 48 properties with 261 tenants, a weighted average lease term (WALT) of 4.5 years, an occupancy rate of 98.3% over a net lettable area of 360,683m².
DNZ Property Fund Limited is a Portfolio Investment Entity in which investors hold shares and is managed by its own internal management team. DNZ Property Fund Limited also manages the property portfolio of Diversified NZ Property Fund Limited for Australian institutional investors.