Charter Hall Direct Property launches new fund
Charter Hall Direct Property is launching a new unlisted office property fund for retail investors, self-managed super fund (SMSF) trustees and high new worth investors.
The fund, which had a minimum investment of $20,000 would own six office buildings within a newly-acquired development in Adelaide, leased to the South Australian government on a 15-year term and set for completion in April 2018.
With the inclusion of the South Australian property, the PFA would have around 60,000sqm NLA with a valuation of $268 million and an average capitalisation rate of 7.36 per cent.
“This formula translates into the prospect of an attractive yield of 7.25 per cent per annum, paid monthly, and a projected total return of over 9 per cent per annum,” said head of Charter Hall Director, Steven Bennet.
“Monthly distributions have proved to be an extremely attractive feature for many retail investors who are looking for a stable earnings stream.”
The fund has received a ‘recommended’ rating from Lonsec.
AUTHOR
Hope William-Smith
Recommended for you
Australian fund managers are actively seeking to launch Cayman versions of their funds to attract offshore flows, with Regal Partners set to launch its latest offering this month.
As private markets gain traction in Australia but only a limited pool of talent is available, three recruiters explore whether fund managers should consider looking overseas to find top talent.
With an explosion of private credit managers appearing in the market, two alternatives experts believe a consolidation is needed to maintain the quality of the sector.
Bentham Asset Management has become the latest fund manager to expand its distribution team as it reports increased interest in its credit strategies.
