SkyCity Entertainment Group has completed the sale of its 99 Albert Street office building and investment properties on Victoria Street in Auckland for NZ$74.5m, marking another milestone in its asset monetisation programme.
The properties have been acquired by Mainland Capital in a joint venture with Russell Property Group, with settlement completed on 1 September as previously scheduled.
The disposal follows the unconditional agreement announced in July and forms part of SkyCity's broader strategy to strengthen its balance sheet by reducing debt and improving financial flexibility. The operator has previously said proceeds from the transaction will help support its long-term financial position while allowing it to focus capital on its core gaming and hospitality operations.
The Auckland property sale comes as SkyCity continues to pursue a wider asset monetisation programme targeting NZ$275m to NZ$300m in gross proceeds. Alongside the completed transaction, the company has also entered into a non-binding agreement relating to the proposed sale of the Grand Hotel.
The group has been reshaping its business against a backdrop of softer trading conditions and regulatory challenges. Last week, SkyCity revealed it had rejected two unsolicited takeover proposals received in May, including a NZ$0.70 per share offer from a special situations fund managed by Oaktree Capital Management and a separate NZ$0.75 per share indicative proposal from an unnamed party.
The Board unanimously concluded that neither proposal reflected the company's underlying value and expressed concerns over conditions attached to the offers, including requests for exclusivity and restrictions that could have disrupted the ongoing asset monetisation programme. Neither bidder returned with an improved proposal.
SkyCity recently reported FY26 revenue of NZ$878.9m, up 6.5% year on year, while reported EBITDA fell 44.2% to NZ$120.5m and net profit declined 37.6% to NZ$18.2m. The operator is also progressing governance reforms at SkyCity Adelaide following a proposed settlement with South Australia's gambling regulator and has launched a strategic review of the Adelaide operation as part of its broader transformation efforts.
The sale was first announced in July and became unconditional before settling on 1 September
