Core Property has reviewed the Primewest Media Trust, the latest offering from Primewest.
The Trust is looking to acquire the headquarters for Seven West Media (ASX: SWM) located in Osborne Park WA under a sale and leaseback arrangement.
The investment metrics include:
- The Property is the headquarters for West Australian Newspapers and Channel Seven.
- An expansive 5.65 hectare site with office/industrial, located in the prime Herdsman Business Park, WA with potential for development upside.
- A new 15-year triple net lease with 3.0% p.a. fixed rental increases.
- The Manager is targeting 8.0% p.a. distributions (paid monthly) for the recommended fund term of 7 years.
- The Offer is open to Wholesale investors only with a minimum investment of $100,000.
Core Property has rated the Fund as RECOMMENDED, however notes that macroeconomic uncertainty as a result of COVID-19 may pose a risk to future valuations and capital returns.
Update: The Fund has been fully subscribed as at 5 May 2020 and is no longer accepting any new investments.