Precinct Properties NZ & Precinct Properties Investments (NZE:PCT) agreed to sell a 50% interest in Auckland's PwC Tower and form a new investment partnership with global firm PAG, according to a Tuesday New Zealand bourse filing.
Under the sale and purchase agreement, the new partnership will acquire the asset for NZ$600 million. The equity component will be deferred for 18 months post-settlement and adjusted in line with the five-year swap rate.
The company will continue operating as an investment and asset manager under a fee arrangement, the filing said. The proceeds will be used to repay bank debt and reduce pro forma gearing to 24% as of Dec. 31, 2025.
The transaction is subject to Overseas Investment Office approval, with settlement anticipated in the first half of fiscal 2027.
The company is concurrently advancing development planning for the asset, including pre-leasing, procurement, consenting, and funding, and has engaged contractor Built for early involvement through April 2027 to support a future investment decision, the filing added.