Goodman Property JV to Auckland tower

Wynyard Precinct Holdings, a joint venture between Goodman Property Trust and Singapore government-owned GIC, has agreed to buy an office tower in Auckland's Wynyard Quarter from Fletcher Building for $86.2 million.

Fletcher Construction expects to complete the office building, which is substantially leased to Datacom, in March 2017.

As well as being part of the group that has conditionally agreed to buy the building, Goodman has agreed to fund the cost of the development until settlement, it said.

Fletcher has separately retained Goodman to provide development management services on the project.

The Overseas Investment Office approved GIC's investment in the joint venture in January.

It owns 49 per cent of a property portfolio initially valued at $313m and with a target to grow to $500m.

GIC is a global investment firm with over $US100 billion ($NZ131.67b) of assets under management.

John Dakin, chief executive of Goodman Property's manager, said the deal with Fletcher "was facilitated through Goodman's relationship with Fletcher Building".

They also worked together to develop Fonterra's corporate headquarters on the same site and are developing the six-level VXV3 building directly behind the Fonterra building.

"Neighbouring our existing Viaduct assets and in an area of substantial private and public development, it's a compelling investment opportunity," he said.

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Goodman Property JV to Auckland tower