13 Aug 2009

Property trust profit increases as rents rise

1:16 pm on 13 August 2009

Property landlord AMP New Zealand Office Trust has seen a rise in profit thanks to an increase in rental income.

The trust made an underlying profit of $59.2 million in the year to the end of June, an increase of 14% on the previous year.

However, when unrealised property devaluations are included, the Trust lost $192.8 million.

Trust chief executive Robert Lang says rental income shot up 11%to $133 million, as rents have been playing catch-up after the burst of growth that took place in the three years.

The trust owns 15 office buildings in Auckland and Wellington with a total value of $1.4 billion.

In June, it raised $201 million to reduce debt.