As New Zealand’s commercial property market reaches what many consider to be a cyclical low, First Light Capital’s GVT Property Fund offers investors a timely opportunity to secure stable, high-yield returns through government-leased assets.
Managed by the experienced team at First Light Capital, the Fund provides investors with access to two carefully selected, fully tenanted commercial properties. Offering a projected pre-tax cash dividend of 8% per annum, the Fund is structured to deliver steady returns while prioritizing tenant security and asset quality.
The GVT Property Fund’s portfolio includes two premium properties, located in Hastings and Te Awamutu, that are purpose-built to meet the high standards required by government tenants. With 100% compliance to the New Building Standard (NBS), as well as LED lighting, EV charging stations, and robust security features, these properties are future-proofed for both tenant needs and environmental standards. This focus on modern, high-spec infrastructure supports not only secure tenancies but also aligns with long-term trends toward sustainable building practices.
The Hastings property, located at 506 Eastbourne Street West, is a two-level office building constructed in 2012. Tenanted by the Ministry of Social Development and the Ministry for Children, this property serves as a crucial hub for essential services in the region. In 2021, the building underwent extensive refurbishment, including seismic upgrades and a reconfiguration to maximize functionality and security, adding EV charging and dedicated secure parking for staff.
The second property in the Fund’s portfolio, located at 204 Sloane Street in Te Awamutu, brings additional stability, strategic value and geographical diversification to the Fund. Completed in 2020, this property includes dual-street frontage, underground parking, and secure entry points for tenants, who also include the Ministry for Children and Ministry for Social Development. Both properties maintain secure lease agreements with a Weighted Average Lease Term (WALT) of five years, underscoring the Fund’s commitment to stable income.
For First Light Capital’s co-founder and Managing Director Toby Hunn, current economic conditions present an opportune moment for investors. "The property market operates in cycles, and right now, we’re in what I view as a buyer’s market,” says Hunn. “Elevated bank interest rates have softened investment conditions, but that’s precisely where the opportunity lies.” Hunn, who brings over 20 years of experience in capital markets from senior roles across the financial market of Asia before re-locating to New Zealand 7 years ago, points to the acquisition of these government-leased properties as key examples of value investments that enhance the Fund’s potential for growth as conditions stabilize.
Hunn’s market outlook is informed by his background in deal origination, asset management, sales, and investor relations, providing First Light Capital with strategic insight into economic trends. “I believe interest rates have peaked, and with central banks leaning towards easing policies, including the Reserve Bank of New Zealand’s recent OCR adjustments to 4.75%, conditions are likely to improve for property investments,” Hunn explains. “As yields start to realign with historical norms, we anticipate solid growth for this Fund, making now an optimal time to invest.”
Founded in 2020 by Hunn alongside the three principals of Acclime NZ, a leading financial services firm in Auckland, First Light Capital brings together over 100 years of combined expertise in property, fund management, and investor relations. Today, the company manages approximately $300 million in assets, serving a broad spectrum of investors across New Zealand and internationally.
Under Hunn’s leadership, First Light Capital has built a reputation for accessibility, accountability, and assertive asset management. “Our goal is to balance people and performance, providing our investors with sustainable, long-term growth,” Hunn says. This hands-on approach ensures transparency and proactive management across the portfolio, making First Light Capital a trusted partner in New Zealand’s commercial property sector.
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Toby Hunn is a founding director of First Light Capital and is responsible for deal sourcing, asset management, sales and marketing, and investor relations.