GMT Result Announcement Media Release | New Zealand
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GMT Result Announcement Media Release

Wednesday, 15 May 2019

An investment strategy focused exclusively on the Auckland industrial market is providing high-quality property solutions for customers and record financial returns for investors.

Goodman Property Trust ("GMT" or "Trust") reported its 2019 annual result today, delivering a record profit of $334.8 million before tax (2018 $207.2 millon).

The last five years have been a period of business refinement as $1.2 billion of asset sales and $675 million of new development projects have repositioned the portfolio, generated strong profits and deleveraged the balance sheet.

Keith Smith, Chairman of Goodman (NZ) Limited said, "Focusing our investment in the Auckland industrial market recognises the emerging trends and unique drivers that have helped make this New Zealand’s strongest performing real estate sector."

Demographic changes, economic growth, and the rapid expansion of online retailing are creating an unprecedented level of demand for well-located and operationally efficient warehouse space across the city.

Chief Executive Officer, John Dakin said, "GMT’s substantial $2.6 billion portfolio is now 100% Auckland industrial. It’s a supply constrained market and we’re undertaking a record level of development activity to accommodate customer demand. It’s contributing to GMT’s impressive financial results and improving an already high-quality portfolio."

Around $160 million of new projects were confirmed last year. GMT now has 14 developments underway at a total cost of $195 million. The majority are at Highbrook in East Tamaki, with this world-class business park now over 90% developed.

The Trust’s development activity is creating value too, contributing $26.2 million of the record $201.9 million revaluation gain.

John Dakin said, "Our preference for high-quality Auckland industrial property reflects the positive investment attributes of this asset-class and the superior growth profile it offers. It’s the focus of our development programme and we expect to undertake a similar level of development activity this financial year."

The sale of office assets has repositioned GMT and created the balance sheet capacity that is funding its development programme. At 31 March 2019 the Trust had a loan to value ratio of just 19.7% and committed gearing of 23.7%.

Following its year-end balance date the Trust’s remaining Christchurch assets were also conditionally sold.

John Dakin said, "The sales programme has been highly successful and these disposals complete the repositioning of GMT.

Keith Smith said, "The Board is extremely pleased with the results being achieved and is confident that the current strategy of development-led growth, funded from the Trust’s substantial reserves, will support strong operating performances into the future."

A comprehensive summary of GMT’s financial performance for the 12 months ended 31 March 2019 is contained within the 2019 Annual Report. The report was released today and is available online at