Welcome to Core Property’s first Weekly newsletter for 2018. We would like to wish our readers a wonderful and prosperous 2018 and look forward to keeping you informed on opportunities in the property investment market.
In the past week Centuria (ASX: CNI) announced that it will be acquiring the Transport Accident Commission (TAC) building at 60 Brougham St, Geelong, VIC for $115.25M. The property will be held in a new single asset fund, the Centuria Geelong Office Fund, which will be launched in February 2018 and managed by Centuria. The Fund will be looking to raise around $74M from investors and will be targeting a distribution of 7.0% p.a. With an occupancy level of 100%, a WALE of 10.4 years and 94% of its income coming from the Victorian government organisation, the Fund is expected to be well supported by investors. Centuria has delivered strong growth with over $650M of property acquisitions since July 2017. The acquisition comes off the back of Centuria’s recent bid for Propertylink (ASX: PLG) and amidst rumours that Asian based logistic player and major shareholder, ESR, will make a bid for Centuria itself. The market awaits whether this will be the first