Australian Unity Investments (AUI) is set to establish a $400 million retail property fund by combining existing trusts and syndicates.
Investors in AUI’s Sunshine Homemaker Centre property trust voted in favour of the amalgamation yesterday afternoon, following favourable votes from three other AUI property vehicles earlier this month. There is one vote outstanding, which if in favour will lead to the establishment of the fund.
AUI’s head, David Bryant, said they expected the proposed fund to deliver investors a total return of up to 14.5 per cent per annum. He added investors would be able to access their investment through regular redemption facilities (which is not possible under a syndicate structure).
Bryant said under the proposal there is a “significantly more diverse tenant and geographic mix, which reduces the risk levels of the investment”, also offering investors “more flexibility in managing and developing the properties”.
