ING's purchase of ANZ house due for settlement Friday

ING Property Trust's purchase of ANZ House in Auckland for $21.15 million is due to be settled this Friday.

The acquisition will be fully funded by existing bank debt.

The property consists of a new four-level commercial office building in Newmarket, Auckland, for which ANZ Bank holds a nine-year lease.

ING Property Trust Management Limited managing director Andrew Evans said he was extremely pleased with the Trust's performance and growth over the last 12 months.

In December last year, the Trust bought a portfolio of 71 buildings from the MFL Mutual Fund and SIL Mutual Fund.

The portfolio has subsequently been restructured, resulting in 20 of the smaller and lower value properties being sold.

"The acquisition of the new properties and subsequent rationalisation programme have resulted in a very well-constructed portfolio. The result for unitholders is a significant improvement in the Trust's diversification, risk profile and scale," Mr Evans said.

Mr Evans also confirmed the Trust has entered into unconditional contracts to sell four more non-core properties, for a total of $13.3 million net of sale costs.

All proceeds from the sales will be used to reduce bank debt.

The Trust's annual financial results and final dividend declaration are due on 28 May 2004.

Total gross distribution for the financial year to 31 March is expected to be 11.15 cents-per-unit, in line with forecasts published in an explanatory memorandum last November.

ING Property Trust shares were unchanged at $1.01 in mid-morning trading today, having traded between 90 cents and $1.03 over the past 12 months.

- NZPA