Global Yellow Pages buys third New Zealand property for NZ$38m

GLOBAL Yellow Pages (GYP) on Thursday said it has signed a conditional agreement to buy a plot of land in Papakura, New Zealand from Motleon Limited, a company that does land development and subdivision, for NZ$38 million (S$37.3 million).

It said that the acquisition is in line with its strategy to further develop its core property business by increasing its development pipeline and building up its property portfolio, as well as to broaden the group's revenue stream, and to pursue opportunities with good prospects for income and long-term growth.

If completed, this will be the group's third purchase of real estate in New Zealand.

The freehold land of about 21.9 hectares, located at Bellfield Road, currently forms part of a plot of land known as Bellfield Park, and is proposed to be subdivided by the vendor to create a separate legal title to the land. It is currently vacant with no activity happening on it.

The land title is subject to a development agreement between the vendor and the Auckland Council to also develop the adjacent land owned by the Auckland Council; this will be novated to GYP when its payment is completed.

On its latest acquisition, it plans to develop the land and subdivide it for sale, and explore the development of part of the land into residential houses and commercial units.

The counter last traded at S$0.152 on Wednesday.