The Base shopping centre at Te Rapa, Hamilton, has rejected the offer of Kiwi Property to buy the remaining half of the complex.

Kiwi Property, developer of the high profile Sylvia Park Shopping Centre in Auckland, has recently purchased half of The Base. The company offered to buy the remaining half to acquire 100 per cent ownership stake in the country’s largest, single-retail centre.

The Base, however did not accept the offer and will proceed with the 50-50 joint venture. Kiwi Property will manage the property for the joint venture.

“We are very excited to be partnering with Waikato-Tainui in the ownership of The Base and look forward to applying our retail management skills for the benefit of the joint venture,” said Chris Gudgeon, Kiwi Property chief executive.

Kiwi Property’s 50 per cent stake in The Base will be acquired for $192.5 million from The Base Limited, a subsidiary of Tainui Group Holdings Limited, with settlement due on May 31.

The deal includes approximately 6.7 hectares of vacant lot suitable for future development. It also includes 120-year ground lease.

The Base, with a land area of approximately 30 hectares and a total retail floor area of 85,256sqm, comprises a modern, integrated complex of specialty and large format retail featuring high-quality design and construction.

Under the terms of the joint venture, in the event Waikato-Tainui would decide to sell their remaining 50 per cent interest in the future, The Base Limited has the right to require Kiwi Property to acquire the remaining 50 per cent interest, at a price determined by independent valuation, between 2018 and 2021.

There will be no change to the freehold title to the land which will remain in the ownership and protection of Waikato-Tainui. Under the terms of the 120-year ground leases that Kiwi Property will be acquiring, the ground rents are prepaid and no further ground rents are payable.