PLP - Industrial property acquisition to go unconditional

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Industrial property acquisition to go unconditional

On 23 April 2024 Booster announced that the Private Land and Property Portfolio (the wholesale fund into
which the PLP invests) had entered into a conditional agreement to purchase a large scale recently built
industrial property. The agreement was subject to satisfactory completion of due diligence and supervisor
approval.

Booster, as Manager of the wholesale fund and the PLP, is pleased to confirm that the substantive pre-
conditions have been met (other than administrative matters), and it is expected the property will settle 30
July 2024.

The property is a warehouse facility located in the Iport Business Park in Rolleston, Christchurch. The
purchase price for the property is $63.75 million plus the potential for an additional payment of up to $1.95
million to reflect any valuation uplift as at 1 April 2025 (based on an independent valuation). Following
completion and ignoring the additional payment, the property will represent approximately 31% of the
wholesale fund’s property assets.

The property is subject to a net lease with Lyttleton Port Company Limited who sublease the warehouse to
Move Logistics Limited – a logistics operations business. The remaining lease term is 13 years to July 2037,
with an 8 year right of renewal. The lease will initially provide an ungeared cash return of 6.2% which is
accretive to the PLP’s current cash based return. The property is also expected to make a substantial
contribution to the PLP’s return objective of an average annual long-term return of about 6.5% (before tax
and after all fees) over rolling 7 year periods (as outlined in the Product Disclosure Statement). The
acquisition is also forecast to reduce the volatility of cash returns to the Fund.

This purchase supplements PLP’s core horticultural/ agricultural focus with further diversification benefits, by
property type, industry exposure and geography.

The purchase is to be funded by a mix of cash and ongoing subscriptions to PLP, including the purchase of
additional units in PLP by other funds managed by Booster.

Investors can continue to purchase units in PLP on the NZX or can subscribe for units in the fund as part of
the process described in the fund’s Product Disclosure Statement (PDS) that is available at
www.booster.co.nz

An update has also been made to the PLP’s offer documents to reflect this transaction, a copy of which is
also attached to this announcement.

For further information regarding PLP visit www.booster.co.nz/booster-investments/private-land-and-
property-fund


For more information, please contact:
Gary Scott
Company Secretary
Booster Investment Management Limited
04 8944300

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About Booster
Booster Investment Management Limited (Booster) is the manager and issuer of the Fund, and part of the
Booster Group which has been helping New Zealanders save since 1998. The group currently administers
superannuation and investment funds of over $6 billion on behalf of more than 190,000 New Zealanders.
PLP is a managed investment fund that invests in land and property-based investments by investing in units
in Booster’s Private Land and Property Portfolio. PLP only holds these units.
For more information, including a copy of the Product Disclosure Statement and the latest net asset value
per unit, please visit www.booster.co.nz


MAP Release notes:
• If price sensitive, then announce promptly and without delay
• Ensure the detail attachment is included in the MAP announcement
• Mark as ‘TRANSACT’ – price sensitive

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Booster Investment Scheme 2
Additional Other Material Information Document
12 July 2024

What is this?
This is an Additional Other Material Information Document for the Booster Investment Scheme 2 Offer, the
Private Land and Property Fund (PLPF). This document is to update Section 4.1, Section 8 and Section 10 of
the Other Material Information Document dated 1 July 2024 (and replaces the Additional Other Material
Information Document dated 3 July 2024).
Supplementary Information
From 12 July 2024 the Property Investments of the Wholesale Portfolio and the Other Material
Contracts sections are being updated to include information about an expected property acquisition
going unconditional in the near future:
• Section 4.1: Property Investments of the Wholesale Portfolio
EXPECTED ACQUISITION
As described in the Sale and Purchase Agreement below (Section 10), the Private Land and
Property Portfolio expects to acquire a warehouse facility located in the Iport Business Park,
situated in Rolleston, Christchurch. Construction of the warehouse was completed in two
stages in 2019 and 2020. The Iport Business Park where the warehouse facility is located has
a direct link to the Lyttleton Port Company facilities allowing for streamlined logistics
operations.
The property is subject to a net lease with Lyttleton Port Company Limited who sublease the
warehouse to Move Logistics Limited – a logistics operations business. The remaining lease
term is 13 years to July 2037, with an 8 year right of renewal. The property’s lease will initially
provide an ungeared cash return of 6.2% which is accretive to the PLP’s current cash-based
return. The property is also expected to make a substantial contribution to the PLP’s return
objective of an average annual long-term return of about 6.5% (before tax and after all fees)
over rolling 7-year periods (as outlined in the Product Disclosure Statement). The acquisition
is also forecast to reduce the volatility of cash returns to the Fund.
• Section 10: Other material contracts
SALE AND PURCHASE AGREEMENT
The Sale and Purchase Agreement for the IPort Business Part property is expected to go
unconditional on 16 July 2024. The agreed purchase price for the warehouse facility is $63.75
million plus the potential for an additional payment of up to $1.95 million to reflect any
valuation uplift as of 1 April 2025 which will be based on an independent valuation. Following
completion and ignoring the additional payment, the property will represent approximately
31% of the wholesale fund’s property assets. Once the property acquisition of the warehouse
facility goes unconditional, the property settlement date is due to occur 10 working days
after this unconditional date.

From 3 July 2024 the manager’s Board of Directors is being updated to reflect the following:
• Section 8: Richard Kirkland has resigned from the Board of Directors of the Manager,
effective 2 July 2024. He is no longer a director or senior manager of the Manager.
The board continues to comprise three independent non-executive directors and two executive directors.