Discount retailer Warehouse Group said it plans to sell three stores and its Wiri distribution centre on a sale and leaseback basis for about $100 million through Colliers International.
It expects the sales process will be completed during the next six months and the long-term leases offered “reflects the importance of these properties to the Warehouse's ability to grow revenue and satisfy our customers for many years into the future.”
“The Warehouse regularly reviews its property holdings to determine whether to own or lease a particular property and the most recent review has resulted in the marketing of these properties,” said chief executive Mark Powell, in a statement.
“The sale proceeds will be reinvested in the business in line with the priorities identified in the company's strategic plan,” Powell said.
The properties will provide attractive opportunities for investors to acquire quality commercial assets in prime locations occupied by a leading New Zealand company, he said.
At the November annual shareholders' meeting, Powell said the company would sell between $75 million and $100 million of “non-strategic assets” over the next five years.
Warehouse shares are down 1 cent at $2.51. The shares are off their $2.48 February low but have been trending lower since hitting $4.55 in October 2009.
(BusinessDesk)
4 Comments
PM- tips to create 100’000 decent jobs for the wider NZpopulation.
The government should look into that issue: Convert the “Consumption temples” into factories. Thousand’s of jobs could be created, the government having a sensible infrastructure policy. With the right incentives infrastructure imports could be halved and planned, manufactured, installed and maintained from the NZworkforce/ companies – orders in the billions.
PM – time to go.
Highly educated in NZschool – youngsters leaving schools are neglected to enter the NZworkforce, between the age of 16 and 20 because of lack of decent jobs.
Obviously the government isn’t able to create decent jobs for NZyoungster and the wider NZpopulation and should take consequences before it is too late and we see more unsatisfactory, even riots taking over in this country.
PM – you are not a leader of format, you do not understand the mechanism of economics. I think it is time for you and some of your ministers to quit.
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