Vero signage on an Auckland building Photo: Supplied / vero.co.nz
The sale of one of the country's biggest office blocks to a Hong Kong-China company has collapsed.
Kiwi Property Group (KPG) said it has terminated the $458 million sale of the 38-storey Vero Centre in Auckland after the unnamed buyer failed to meet key conditions.
Chief executive Clive Mackenzie said they had tried to get the deal done over the past few months.
"Despite our best efforts, the purchaser has now missed the deadline for milestones such as paying the deposit and seeking Overseas Investment Office approval for the deal and, as a result, we've made the difficult decision to terminate the conditional sale contract."
The company was not available to comment on whether it would look for another buyer or take the building off the market, nor what impact the failed deal might have on future developments and the company's finances.
Kiwi Property was selling the building because it no longer fitted its future strategy of building retail-led mixed-use centres, as well as paying down debt and recycle the funds.
It has been developing build-to-rent long term accommodation at the Sylvia Park Shopping Centre, and is also developing a new town centre south of Auckland in the small settlement of Drury.
