Auckland Real Estate, which is shortened to ARE invests in commercial real estate with a focussed and active operating strategy that delivers both income and adds value to its assets.
ARE has a workplace brand and strategy called Alberts, which delivers modern, aspirational offices for the tenant market, with a focus on SME tenants. Through design innovation, combined with data analysis and understanding the evolution of workplace culture, ARE invests opportunistically, improves income and drives capital value.
Background to ARE:
- In 2016, the company invested in three Auckland office assets, partnering with a global private equity real estate investor. Following active management, the re-positioned properties have been sold or are under contract. The portfolio has returned a 20% plus IRR to investors.
- In 2018 and 2019, the company expanded its investment with the purchase of a further five Auckland office assets, partnering Alceon Group, a multi strategy alternative asset manager who are active in New Zealand and Australia. The properties were purchased as each presented an opportunity to add and create additional value through active asset management. These assets, which provide approximately 24,000sqm of office area, are being actively managed, re-positioned and leased.
- During 2020, the company optioned, under contract, two additional office assets and have secured resource consent to re-position them, forming a single 14,000sqm grade A office retail complex in the core of the city, adjacent to the new Aotea Station CRL and Sky City on Albert Street. The contract remains conditional and subject to board approval.