Rich-lister’s big private hospital investment, what plans for Manukau Supa Centa; Kiwi Property CEO’s new pay package - Property Insider

The Ascot Hospital and Clinics owns the hospital at 98 Mountain Rd, Epsom.

The project was funded from bank debt and cash reserves.

Sir Stephen Tindall’s stake is via Albert Park Trustee Company. It is that entity which owns 41% of Healthcare Holdings which trades as Allevia Health.

The NBR last year estimated Tindall’s fortune at approximately $430m.

Tindall’s name is rarely associated with healthcare and certainly not a business the size of Allevia which only rebranded under that new name in April.

In 2005, the Herald reported that the Southern Cross Health Trust wanted to take on MercyAscot by buying the Auckland Surgical Centre in Remuera. At the time, it was reported MercyAscot was associated with the Warehouse founder.

Asked about the $190m Epsom job last month and Tindall’s involvement, a spokeswoman for Tindall’s K1W1 said he did not wish to comment.

Allevia Hospitals’ chief executive, Dr Ian England, said Allevia was owned by New Zealanders and the expanded hospital would be a great asset to the population.

Companies Office records show private market investor Waterman has a 34% holding in Healthcare Holdings, via limited partnerships.

Directors include New Zealand fertility pioneer Dr Richard Fisher and professional director and close Tindall associate Keith Smith, who is the Allevia chairman.

Wellingtonians’ $161m deal

What do the Willis Bond bosses plan for the Manukau Supa Centa, given a June 30 settlement date of one of the year’s largest transactions by the business they established: Property Income Fund?

“Nothing radical planned, it’s already a very successful site,” said Willis Bond managing director Mark McGuinness.

But oh, the potential once that deal settles - if the economy was better.

All that flat land near a train station, all that low-rise building and having a family-owned builder, which is one of New Zealand’s largest, is just another bonus.

However, from what McGuinness said, it won’t be any time soon you’ll be seeing an LT McGuinness crane on that site following the JLL sale.

Property Insider reported on the retail centre being up for sale in March.

PSPIB/CPPIB Waiheke Inc. is the vendor. PSPIB stands for Canada’s Public Sector Pension Investment Board. CPPIB stands for the Canadian Pension Plan Investment Board.

Kiwi downbeat

You know things are grim economically when a $3.3b landlord pushes the Stop button on new projects and lays off staff.

Kiwi Property Group pushed up revenue and turned a previous loss into a profit.

But CEO Clive Mackenzie remained realistic about the dire state of this country’s economy.

“Kiwi Property has also consciously pulled back from committing to capital-intensive new development projects, other than the completion of Resido, with a reduction in gearing and more favourable market conditions needed before pressing play on future work in our development pipeline,” said the annual report out last Monday.

Local and global market conditions are reducing transactional activity and making for a more difficult operating environment, it said.

In an interview, Mackenzie said: “We are focused on the upturn in the economy. I think it’s already starting to turn”.

But the company retrenched staff, particularly with Yardi IT system.

“Following a period of investment leading to the implementation of the Yardi ERP platform, the project wrapped up in March 2024. The departure of the Yardi project team, increased operational efficiencies from this implementation, and greater access to data have all assisted with reducing corporate expenditure in FY25. The headcount reduction over the year is nine full-time equivalents, from 155 to 146.

“These are internal promotions and vacant roles which were not replaced,” a Kiwi spokeswoman said.

Clive Mackenzie’s pay

Kiwi’s board approved a pay rise for CEO Clive Mackenzie in this current financial year.

The annual report said: “The board approved changes to the CEO’s remuneration package from April 1, 2025, with the CEO’s STI [short-term incentive] target increasing to 65% of fixed remuneration and LTI [long-term incentive] target set on base salary.”

So the potential pay of $1.76m total in the year to March 31, 2025, goes to $1.78m.

But Mackenzie only got $1.55m in the March 2025 year, not the possible $1.76m.

The higher amount is the target remuneration package.

When he started, he talked about wanting to solve New Zealand’s housing crisis.

“We were looking at residential via multi-family - the US term for a build-to-rent model,” the Zimbabwe-born Mackenzie explained from Kiwi’s Vero Centre offices in downtown Auckland.

“It would be bringing institutional funds to solve the housing crisis. Many malls in the US are multi-family,” he said, citing luxury condo high-rise in places like Tysons Corner in Virginia.

Mackenzie became CEO on July 16, 2018, so has been in the role nearly seven years. He has a long pedigree here, having spent his working life from the age of 26 living in New Zealand, apart from his recent seven-year stint in the US.

The son of an engineer who specialised in working in the mining industry, he has a Bachelor of Commerce degree and a post-graduate degree in management from the University of KwaZulu-Natal in South Africa.

He moved here in his mid-20s “just wanting to explore the world and this is as far as I got”, initially working for giant mall owner St Lukes Group with Paul Preston and David Kennedy, starting at Manukau as an assistant centre manager.

Mackenzie then moved to Hamilton’s Chartwell Mall and Christchurch’s giant Riccarton Mall.

Result reaction

Arie Dekker and Vishal Bhula, Jarden analysts, reacted positively to Kiwi’s FY25 result.

Its key retail assets were performing well, with low vacancy and solid leasing outcomes being achieved, they said.

Highlights included:

Anne Gibson has been the Herald‘s property editor for 25 years, written books and covered property extensively here and overseas.