Quarterly Report December 2022

01
Precinct Quarterly Update
December 2022
Precinct Quarterly Update
Welcome to the December
edition of our quarterly update.
AGM
Precinct held its AGM on 3 November 2022. It was a hybrid
format so in addition to the in-person meeting held at Generator
Commercial Bay Meeting & Event Suites, attendance was also
available online via a live webcast. Voting was conducted by
poll and shareholders passed all resolutions.
Any feedback from shareholders is welcome in advance of our
2023 AGM.
Board Updafe
We continue to focus on the Board’s succession planning and
are continually reviewing this. Reflecting this and announced at
our AGM last month, I will be stepping down as Chair and
Independent Director of the Precinct Board at the conclusion of
my current term in November 2023.
We expect to begin another process to identify a potential
director appointment in the coming months. The People and
Performance Committee will also commence the process for my
replacement as Chair, ensuring a seamless transition and
handover. We look forward to announcing these appointments
in due course.
Mohammed Al Nuaimi has resigned as Shareholder Appointee
from the Precinct Board of Directors on 3 November 2022. On
behalf of my Board colleagues and Management, I would like to
again thank Mohammed for his contribution to Precinct since
2013.
Outlook
Consistent with earlier guidance provided, the Board expects
Precinct’s dividend for the 2023 financial year to be no less than
6.70 cents per share in total cash dividends to be paid to
shareholders.
Thank you for your continued investment in Precinct. Wishing you
all a well and safe break over the Christmas and New Year
period.
Yours faithfully,
Craig Stobo, Independent Director and Chair
Dividend
Payment date16 December 2022
Excluded dividend per share1.675 cents per share (cps)
Fully imputed dividend per share0 cps
Cash dividend per share1.675 cps
Imputation credits0 cps
Indicative dividend payment dates
2nd Quarter 2023 financial year24 March 2023
3rd Quarter 2023 financial year9 June 2023
These dates represent the current expectation of Precinct(PCT) as at the date of
publication, are subject to PCT board approval, may change without notice and
are not a guarantee or warranty as to the payment of a dividend or the actual
payment dates.
Key metrics at 30 September 2022
Portfolio value
$3.2 billion
Overall occupancy98%
Weighted average lease term6.9 years
Market capitalisation$2.1 billion
Weighted average cap rate4.9%
Weighting to Auckland (by value)71%
Financial Summary
as at 30 September 2022
Year to date (Unaudited)
Dividends declared1.675 cps
Full year forecast dividend per share6.70 cps
Balance sheet
Unaudited
30 Sept 22
Audited
30 June 22
Total assets$3,968.1 m$3,839.2 m
Net equity$2,438.7 m$2,435.5 m
Number of shares on issue1,585.9 m1,585.4 m
Net asset value per share$1.54$1.54
Bank covenant gearing35.5%34.3%
Shareholder returns
Shareholder returns
September Quarter1 Yr3 Yr5 Yr
Precinct (NZX: PCT)
(3.9%)(19.0%)(21.2%)15.7%
Listed Property
(1.9%)(17.9%)(13.9%)24.9%
Returns are based on close price for the quarter, and assume reinvestment of
dividend (returns exclude imputation credits). Listed property is the S&P/NZX All
Real Estate Gross index. Source IRESS
FY23 Interim Results
Precinct’s FY23 interim results are scheduled to be announced
on 23 February 2023.

02
Precinct Quarterly Update
Precinct Quarterly Update (Continued)
Investment Partnerships
During the quarter, Precinct announced the establishment of a
new joint investment partnership with global private investment
firm, PAG. The partnership will acquire 40 and 44 Bowen Street in
Wellington for a total purchase price of $240 million following the
completion of 44 Bowen Street, anticipated mid-2023. PAG will
have an 80% interest with Precinct holding a minority interest of
20%.
Precinct also announced further growth in its real estate
investment partnership with Singapore sovereign wealth fund
GIC with the Wynyard Quarter Stage 3 development to be
acquired and completed by Precinct Pacific Investment Limited
Partnership (PPILP). Precinct will continue to manage delivery of
the development under the terms of a development
management agreement.
While the investment environment continues to evolve, these
transactions reinforces the strength in the office market and
demand for joint investment into our high-quality assets and
large-scale development opportunities, further endorcing
Precinct's long-term strategy.
Pre-leased Wellington acquisition
In November 2022, Precinct secured an unconditional
agreement to acquire 61 Molesworth Street in Wellington,
together with a new 24,000 square metre office development
project to be undertaken on the site.The prime commercial
office space has been leased to the New Zealand Ministry of
Foreign Affairs and Trade (MFAT). On completion, 61 Molesworth
Street will deliver a seismically resilient, environmentally-focused
commercial office building across 11 levels with ground floor
amenities including a lobby café, meeting suites, and end of trip
facilities.In addition to the high quality building specifications for
this project, seismic resilience has been a critical consideration.
The structural design of the building will incorporate advanced
technologies, such as tuned fluid viscous dampers which provide
for performance that exceeds design code minimum
standards.The expected total project cost is around $250 million,
with the development expected to complete in Q3 2025.
Artist’s impression of new office development at 61 Molesworth Street
Sustainability
Precinct continues to advance its ESG initiatives across the
business. Precinct has lifted its targets around climate-related
disclosures, with a focus on energy efficiency and meeting or
exceeding New Zealand’s excellence levels under NABERSNZ
and Green Star Ratings.
Precinct has also become a signatory to the World Green
Building Council Net Zero Carbon Buildings Commitment. This
commitment is to minimise total emissions, both operational and
embodied over an asset lifecycle. Precinct has offset emissions
relating to construction for several years now, however this
commitment goes further and will see the business focus on more
sustainable design and products to minimise upfront emissions by
2030.
During the quarter, Precinct received its most recent 2022 GRESB
results. Precinct achieved a score of 82, again placing us above
the current global average of 74 and also maintained a public
disclosure level of ‘A’.
Disclaimer: The information and opinions in this report were prepared by Precinct Properties New Zealand Limited
(PCT). PCT makes no representation or warranty as to the accuracy or completeness of the information in this
report. Opinions including estimates and projections in this report constitute the current judgement of PCT as at the
date of this report and are subject to change without notice. Such opinions are not guarantees or predictions of
future performance. This report is provided for information purposes only and does not constitute investment
advice. Neither PCT, nor any of its Board members, officers, employees, advisers (including Precinct Properties
Holdings Limited) or other representatives will be liable for any damage, loss or cost incurred by any recipient of this
report or other person in connection with this report.
Please contact our registrar, Computershare:
• To change investment details such as name, postal
address or method of payment, and
• For questions on your dividend and shareholding
Registrar:
Computershare Investor Services Limited
T +64-9-488-8777
Email: enquiry@computershare.co.nz
If you have any questions please feel free to email us at
hello@precinct.co.nz