NPT Limited Christchurch Property Update

NPT Limited Christchurch Property Update

NPT Limited (NPT, the ‘Company’), today provided the following update on the status of its Christchurch properties following the earthquakes of Monday, 13 June 2011.

Eastgate Shopping Centre

The Eastgate Shopping Centre sustained some damage on Monday and staff evacuated the Centre. With the exception of Countdown, which is scheduled to reopen on about 18 June, the Centre will be closed until an engineering assessment and appropriate remedial work can be carried out. Updates will be provided on the Centre’s website – www.eastgate.co.nz.

The Centre has full insurance cover which includes rental income and building replacement.

Natcoll House

Natcoll House, located within the CBD’s Red Zone area, had been ‘green stickered’ soon after the February earthquake awaiting a full engineering inspection. This had been delayed due to very limited access to the property; many of the buildings surrounding Natcoll House have been or are due to be demolished. On Monday, just prior to the latest earthquakes, engineers completed their inspection and reported that remedial work was needed before the building could be reoccupied. Consequently Natcoll House has been ‘yellow stickered’. With the change in classification the Company will be making an insurance claim for both the remedial work and business interruption, which covers loss of rental income for up to 24 months.

Following Monday’s earthquakes engineers will be required to undertake another assessment of the property. Until that is completed the full extent of the remedial work required will not be known.

Print Place

Engineers have confirmed that the property sustained only cosmetic damage in the earthquakes and the tenants are operating as usual.

Avonhead and Hornby Shopping Malls

The Company holds the head lease on the Avonhead Shopping Centre and also holds a head lease over a small portion of retail property adjacent to the Hornby Mall. Both these malls sustained only superficial damage and, consequently, have reopened.

Acting Chief Executive Officer, Kerry Hitchcock said "Our property management personnel are concentrating their efforts on the Eastgate Centre. All our retailers, with the exception of Farmers and those that had operated in the now demolished section of the Centre, were due to be back in business on 14 June. With so many local retailers unable to reopen after the February earthquake we know that the local community relies on the Centre for much needed services and products so we are working hard on getting it back in operation as soon as possible."

Mr Hitchcock said "Our thoughts are with the people of Christchurch. We remain very focused on supporting our tenants as they face these continuing challenges."

Also announced today was the resignation of NPT’s Chief Financial Officer, Allan Tan, who is leaving to pursue other business interests.

NPT Limited's Chairman, Sir John Anderson says, "I would like to thank Allan for his services, particularly his work on the recent corporatisation process.”