SLPF Experiences Solid Revaluation Growth

St Laurence Property & Finance Experiences Solid Revaluation Growth across Portfolio

Active property investment vehicle St Laurence Property & Finance (SLPF) recorded a significant uplift in property valuations of more than 9.5% in the year to 31 March 2007.

Valuation increases resulted in unrealised revaluation gains of $26.7 million in the year to 31 March 2007. SLPF's investment property portfolio increased from $244.5 million to $306.0 million during the period through a combination of acquisition and valuation growth.

SLPF chairman Kevin Podmore says the continued increase in asset values is a reflection of strong demand for property assets in the commercial and industrial space.

Prices have been driven higher by further local and international demand for New Zealand property overall, combined with robust underlying economic conditions.

Of the 26 properties in SLPF's portfolio, 12 properties showed valuation gains of more than 10%. Six of these properties demonstrated gains of more than 15%.

SLPF's North Harbour property at 13 William Pickering Drive rose in value by 23.5%, from $6.7 million to $8.3 million, with several other Auckland properties recording increases of more than 10%.

Other significant performers included:

* SLPF's Repco property in Mt Wellington, Auckland which rose 15.5% to $22.4 million during the period;

* Cain Park in Penrose, Auckland which experienced a 14.1% lift in value from $9.1 million to $10.3 million;

* Eagle Technology House in Victoria Street, Wellington which rose in value by 11.5% from $19.2 million to $21.4 million; and

* The former Deloittes building in Molesworth Street, Thorndon, which experienced a 11.7% rise in value to $15.4 million.

Mr Podmore says increasing demand for industrial space is creating a number of development opportunities for SLPF in its existing property portfolio. "We are actively pursuing these development opportunities and expect demand for future developments to continue as space in prominent locations becomes increasingly scarce."

Plans are currently underway for SLPF to design-build more than half the vacant development land to the rear of the Repco distribution centre in Mt Wellington, Auckland. This is expected to further increase the value of the property in the future.

Other design-build opportunities within the portfolio include the Central Park industrial complex in Porirua, Wellington where a commitment has been recently secured to design and build a new warehouse and distribution centre for national furniture retailer Harvey Norman.

This is the first in what we hope to be a number of design-build developments on a site which is ideally located for companies looking to centralise their distribution and warehousing operations

"St Laurence Property & Finance's primary focus in 2008 is to continue to progress with the value-add opportunities already identified within the investment property portfolio.

As well as this, we will continue to focus on our strategic property development assets, including our joint venture developments," Mr Podmore says.

ENDS

Background
St Laurence Property & Finance (SLPF) is an active property investor with a diversified portfolio of property related investments and operating activities and is part of the St Laurence group. It has in excess of $430 million of property based assets, including investment properties, property developments and property operating activities.

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