Visy Glass has sold its Auckland manufacturing facility to Centuria Capital Group for NZ$178.3 million (US$118.5 million) on a 20-year sale-and-leaseback, triple net lease deal.
It means the capital group will lease the facility back to the glass manufacturer for the next 20 years.
The Visy Glass facility is New Zealand’s only glass bottle and jar manufacturing site and was established in 1922.
The 8.6-hectare site, at 752 Great South Road in Penrose, is located approximately nine kilometres from Auckland’s CBD and 15km from the Auckland International Airport.
Visy Glass acquired the site when it completed the recent acquisition of O-I Glass’s Australasian business in August this year.
The acquisition extends Centuria’s relationship with Visy, with more than 123,000m2 leased to the international paper, packaging and recycling company across Centuria’s industrial platform. It is one Centuria’s largest clients.
The Visy Glass facility will form a new, New Zealand single asset unlisted fund, underwritten by Centuria.
It will be the largest single asset unlisted fund launched by Centuria to date and is transformative for Augusta Capital - Centuria’s New Zealand platform - bringing the New Zealand operation to scale ahead of schedule.