Property portfolio with a difference
Calling it an Australian first, Westpac Funds Management has launched a new offering that invests in residential properties, such as houses and units.
The Westpac Residential Structured Investments provides a new way for investors to access the capital growth of residential property without the complications of direct ownership through a portfolio of 441 residential properties valued at $226 million.
Located across six Australian states and territories, the properties are all leased to and managed by Defence Housing Australia for an average period of about 10 years.
The offer is open to all investors, however it has been specifically designed for self-managed superannuation funds, where the focus is on a medium to long-term investment horizon.
While investors will not receive cash distributions from their investment, they will be entitled to a return based on 130 per cent of the portfolio’s capital growth rate, which they will receive at maturity in the form of units in the Westpac Residential Property Trust.
The strictly limited offer is open until November 23.
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