MPF launches raising for new wholesale fund
The MPF team are excited to announce we have opened a new wholesale fund for investment after entering into terms of agreement to acquire a new commercial asset in Perth’s North East corridor.
MPF Banksia Grove Property Fund, which is open exclusively to wholesale investors, has been set up to offer investors the opportunity to own a well-balanced commercial asset with both strong rental and capital growth prospects.
Purchased by our acquisitions team in an off-market agreement, the trust’s asset is a brand new mixed-use Commercial Service Centre situated in the expanding Banksia Grove District Centre, around 28km north of Perth’s CBD and 6 km from Joondalup City.
The property benefits from its location on a prominent corner at the intersection of Joondalup Drive and Joseph Banks Boulevard, with high exposure to surrounding traffic including over 17,000 vehicles passing by the site each day.
Whilst well-positioned to leverage future growth opportunities in the expanding North East region, we are confident the asset will also offer high income security to investors.
The asset boasts a strong 12-year WALE from a diverse tenancy mix across a range of different industries, with national tenants including Repco, Pet-barn, Chicken treat and international convenience store 7-Eleven together with a 15 year child care lease to Mercycare.
In addition, the property benefits from close proximity to established complementary businesses, including national supermarket chains Woolworths, Coles and ALDI, as well as a number of small speciality retailers.
The fund is offering initial projected monthly distributions of 7.5% per annum. However, with the majority of tenants on fixed growth rent reviews, we are anticipating further rental growth, and are forecasting 5-year average cash distributions of 8% annually.
As a newly-built commercial centre, the fund is also set to benefit from limited exposure to capital expenditure as well as significant depreciation benefits, which we believe will help to further strengthen investor returns.
The fund is offering an initial term of 6 years, with potential for a further 5-year extension option at the end of the initial period.
If you would like to register your interest for this opportunity, visit http://www.mair.com.au/banksiafund/ . Alternatively, to discuss the fund in more detail, contact our Key Relationships Manager, Brad Dunn, on firstname.lastname@example.org