The chairman of AMP Office Trust has promised investors that the listed commercial property company and its manager will perform better under its new management structure.
Investors on Thursday approved changes to the way the Trust will be run and managed at a special meeting in Auckland.
The Trust will be converted into a listed company; its manager, AMP Haumi, will be paid lower fees, to run its $1.1 billion property portfolio, while four new independent directors will be appointed to the board.
More than 80% of investors voted in favour of the changes.
But not all investors are happy with the new direction, with some of the Trust's largest shareholders voting against the changes.
The Accident Compensation Corporation, which has a 9% stake, opposed all 13 resolutions and wanted AMP Haumi Management to be removed as its manager.
ACC said the manager has performed poorly and charged unreasonable fees, and that wouldn't improve if the proposals went ahead.
ACC says it's now reviewing its options, which may include selling or reducing its stake in AMP Office Trust.
The Trust's chairman, Craig Stobo, says the changes give investors greater transparency, accountability and control, and the new management fee structure is designed to improve AMP Haumi's performance.
The Shareholders' Association also voted no to the changes, saying smaller retail investors had not been properly consulted, and the changes were not in their best interests.
Chairman John Hawkins says he'll do everything he can to make sure the Trust and its manager deliver the results that are being promised.
Some investors questioned why AMP Office Trust didn't just internalise the management contract as DNZ has, and National Property Trust plans to. Mr Stobo has not ruled out the option completely in the future.
BT Funds voted in favour of the changes, although it is questioning what major costs could arise if the management contract is internalised in future.
Mr Stobo says although it's taken 16 months to get to this point, the work is only really just beginning, and it's now up to up to the new board and management team to deliver results.
