Investore Property at $1.27: A Large-Format Retail Landlord Trading Below Its Books
Investore Property is a focused bet on one corner of the property market: the big, boxy retail buildings that house supermarkets, bulk retailers, and large-format stores. The IPL.NZ stock trades around $1.27, which sits noticeably below the accounting value of the property it owns. For income investors, that discount, paired with near-full occupancy, is the heart of the story.
Investore Property is a New Zealand property investor that owns a portfolio of roughly 45 large-format retail properties throughout the country. These are the substantial, single-tenant or anchor-tenant buildings that big retailers occupy on long leases. The trust is managed externally by Stride Investment Management, part of the same group as [Stride Property](/stocks/stride-property).
Recent Performance
As of early 2026, IPL traded around $1.27, on a market capitalisation of roughly $478 million. Like the rest of the listed property sector, it has been held back by higher interest rates, which lift borrowing costs and make property yields work harder against bonds and term deposits.
The share price has been subdued. The more interesting number is the gap between that price and the value of the underlying property.
Key Metrics
The figures that frame the case:
- •Share price: around $1.27 NZD
- •Dividend yield: roughly 5%, from a cash dividend near 6.5 cents per share
- •Net tangible assets (NTA): $1.60 per share as at 31 March 2025
- •Portfolio occupancy: 99.0%
The standout is the gap between the $1.27 share price and the $1.60 NTA. Net tangible assets is the accounting value of the trust's property less its debts, divided by the share count. Trading roughly 20% below NTA means the market is paying well under the stated value of the buildings. That can be a value opportunity or a sign of scepticism about valuations. For how we judge an NTA discount, see our [methodology](/methodology).
The Big Picture
Investore's most recent full-year result, for the year to 31 March 2025, showed distributable profit after current income tax of $28.4 million, or distributable profit per share of 7.58 cents. Distributable profit is the measure that underpins a property trust's dividend, and the cash dividend for the year came in at 6.50 cents per share. The portfolio carried a value of around $1.0 billion, and NTA per share rose 3 cents to $1.60.
The defensive quality here is the tenant base. Large-format retail buildings are typically leased to substantial retailers, often supermarkets and major chains, on long terms. Supermarket-anchored property in particular tends to hold up well through economic cycles, because people keep buying groceries regardless of the wider mood. An occupancy rate of 99.0% confirms that demand for this space is firm.
Investore's retail-property focus places it alongside [Kiwi Property Group](/stocks/kiwi-property), although Kiwi leans toward shopping centres and mixed-use estates while Investore concentrates on standalone large-format buildings. The external management arrangement with Stride Investment Management is worth understanding too: it means a third party runs the portfolio for a fee, rather than Investore employing its own in-house team.
What to Watch
Three things will shape the outlook.
First, interest rates. This is the dominant factor for any property trust. Lower rates would support valuations and make Investore's yield relatively more attractive, and could help close the NTA discount.
Second, the NTA gap. A discount to net asset value can persist for a long time or close quickly. Watch whether property valuations hold, because a falling NTA would narrow the gap the wrong way.
Third, tenant strength and lease renewals. The trust's income depends on its large retail tenants staying put and renewing. Watch occupancy and the lease expiry profile.
The Bottom Line
The bull case for Investore Property is a near-full portfolio of defensive large-format retail buildings, a solid yield, and a share price about 20% below the stated value of the property. The bear case is sensitivity to interest rates, the external management structure, and the simple fact that NTA discounts can linger for years. At around $1.27, Investore is priced as a patient income holding, and that is most likely the right way to weigh it.
*This article is for informational purposes only and does not constitute financial advice. Always do your own research or consult a licensed financial adviser before making investment decisions. Figures are drawn from publicly available company disclosures and market data and may change after publication. See our [methodology](/methodology) for how we approach these articles.*