Heredium New Zealand

Our newest office

Andrew Carnegie famously said that 90% of millionaires become so through owning real estate. While nowadays we refer to billionaires rather than millionaires, the principle remains the same. Fortunes changes over the years but real estate remains a cornerstone of preserving and generating wealth for the world's wealthiest individuals and families.  The third largest group of the world’s billionaires are pure real estate investors and every wealthy person today holds property as a key part of their investment strategy, with investment properties representing on average 27% of the value of their investment portfolios.

 

With the establishment in January 2020 of our latest offices in Auckland, New Zealand, shortly before the global pandemic struck, the Heredium Group has opened up a timely new venue for excellent investment opportunities.  We are of the opinion that the current conversion of New Zealand's economy from mostly agricultural and forestry to high technology, bypassing generally the industrial phase which other economies have gone through, puts New Zealand property on the course for strong outperformance without compromising security.

 

Long before Covid-19, we identified New Zealand as an outstanding candidate for real property investment.  Since entering this market, Heredium has built a wealth of experience and a superb nationwide network, without limiting itself to affiliations with any particular agency group.  This is how we operate in each nation: the width and quality of our connections provides us with a unique advantage as we are able to overview the entire market and cherry-pick the best investment opportunities. 

Heredium is well positioned to structure property investment portfolios together with investment partners who recognise the excellent prospects New Zealand provides for secure, long-term investments.  We have acquired and will continue to acquire well-positioned properties in order to benefit from decent and reliable yields, opportunities for value creation, and long-term appreciation, while staying within our overall macro-economic requirement of investing only in properties which offer long term stability and economic strength.

 

Since establishing our offices in Auckland, New Zealand, we have made a number of quality property acquisitions, a sample of which follows:

Manawa

The Manawa building is located on the corner of Antigua and Tuam Streets in Christchurch’s Health Precinct.  Our acquisition in 2020 is still the highest-value single-building office investment ever realised in Christchurch. The property is leased on an exceptionally long-term lease to a health research and education collaboration between three government related entities: Canterbury District Health Board, Ara Institute of Canterbury and University of Canterbury.

YHA Tekapo

Its position is unrepeatable, there have never been permitted any other hotels on the highly sensitive lakeshore.  

106 Richard Pearse Drive

A modern logistics facility at Auckland International Airport fitted out as production facilities for a health supplement manufacturer, maintaining very high level sanitary standards including quality control of air circulation.  The property is located on a 4,806m2 corner site, with excellent visibility and convenient motorway access.  We acquired the property for one of our funds in August 2020 and were able to dispose of it within a year, generating after-tax profit of 49.4%.

Windsor Castle

A high profile two-level commercial building constructed circa 1850 with a Category 1 Heritage Listing, this property includes a considerable vacant land area for further development (see artist’s renderings).  Originally used as a hotel and in more recent years as a famous pub, the tongue-in-cheek named Windsor Castle sits on an excellent location on the corner of Parnell Road and Windsor Street, in an important retail location in one of the most popular residential areas of Auckland.

YHA Wellington

Two adjoining hotel buildings comprising a 5-storey structure built in the 1980s and a 6-level building built circa 2001, with 102 rooms, a restaurant, and meeting rooms occupying a floor area of 3,878m2.  Extremely well located adjacent to the Courtenay Place Entertainment Precinct and close to Wellington’s Waterfront and the Te Papa Museum, in the heart of Wellington.

143 Quay Street #64

A luxurious penthouse in a prime waterfront position on Auckland’s Princes Wharf.  This is the largest penthouse on the Auckland waterfront which has previously been rented as a venue for private events.  We will update and improve the interior and then rent it on a long-term basis as the Auckland abode for an UHNW family.