Industry superannuation funds are not the only entities devaluing assets, with property funds having started the same process.
One of Australia’s largest real estate investment groups, GPT, today announced downward revaluations affecting both its office fund and its Wholesale Shopping Centre fund.
In an announcement released on the Australian Securities Exchange (ASX), GPT said the GPT Wholesale Office Fund had been subject to a negative revaluation of approximately $183 million, representing a decline in book value of 2%.
It said that the Wholesale Shopping Centre Fund had been subject to a negative revaluation of $511 million representing a decline in book value of 11%.
Commenting on the negative revaluations, GPT chief executive, Bob Johnston said they reflected the independent valuers’ assessment of the effects of COVID-19 and the measures being implemented by the Federal and State Governments were having on economic activity.