APIL Essential Retail Income Fund

Non-discretionary focussed retail property fund targeting 6.0% - 6.5% p.a. distributions

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Core Property has reviewed the APIL Essential Retail Income Fund, a retail property fund managed by APIL. 

The Fund is targeting a $100M portfolio of retail properties with a stable profile and secure income stream. Properties are expected to have a high tenant appeal, with a focus on non-discretionary retail categories that are "essential" in nature, providing a fair level of income certainty for investors.
The Manager is looking to establish the Fund through the offer of 11.6M units, priced at $1.00 per unit, with an initial offer period of 30 March - 30 April 2021.

The Fund's initial asset, the Coolbellup Village Shopping Centre, WA, offers a stable income profile:
  • The Woolworths supermarket and pharmacy (Optimal Pharmacy Plus) account for 89% of rental income.
  • Since opening in November 2018, the Woolworths supermarket has delivered above average sales and above average sales growth.
  • The Manager is targeting initial distributions of 6.0% p.a., with distributions expected to be in the range of 6.0% - 6.5% as additional properties are acquired. 
 Core Property has rated the Fund as RECOMMENDED.

Core Property Rating - Recommended

Fund Status - Open

This publication is not and should not be construed as, personal financial product advice, an offer to sell or the solicitation of an offer to purchase or subscribe for any investment. Any opinion contained in the Report is unsolicited general information (general financial product advice) only. Read more here.