Cromwell Riverpark Trust

One of the market’s best performing unlisted property trusts; delivering investors outstanding income and capital returns, and demonstrating the strength of our ‘Back to Basics’ approach to single property trusts

Delivering outstanding investment performance

The Cromwell Riverpark Trust is a single asset real estate trust. Launched in 2009, the Trust has been one of the best performers in its asset class, providing investors with an annualised return of 14.9% p.a. over its seven year term

The Trust has delivered both a consistent and growing income, with tax deferred distributions increasing from 8.25 cents per unit in the first year to 11.0 cents per unit today, and capital growth, with the unit price increasing 66% from the original NTA of $0.90 per unit to $1.49 per unit as at 1 July 2016.  

With an original maturity period of seven years, unitholders were invited to vote in mid-2016 to either extend the Trust for a further five years or sell the asset and wind-up the Trust. More than three quarters of the unitholders voted in favour of extending the Trust term, far exceeding the 50 per cent required. This vote demonstrated the level of confidence unitholders have in our long term investment philosophy.

About The Asset

Energex House in Newstead, Queensland is the Trust’s sole asset and is managed directly by Cromwell.   It is 92 percent leased to Queensland Government-owned utility provider, Energex Limited, which has over nine years remaining on the lease. The long WALE of 8.4 years, with a quality tenant, gives investors assurance on the ongoing sustainability of the Trust.   As one of Queensland’s most energy efficient commercial buildings, Energex House has earned a Six Star Green Star rating and a 5.5 Star NABERS rating.

GRAPHIC 1 Graphic for Capital increase

Highlights

  • Quality tenant with a long WALE (8.4 years)
  • Property managed by Cromwell with a long term approach
  • Reliable monthly tax deferred distribution–  unitholders did not have to wait for tenant to move in
  • Distribution will further increase with the renewal
  • Combination of distribution and capital gain makes it one of the best performers in its asset class, returning 14.9 percent per annum as at 1 July 2016 annualised since inception in July 2009
  • Was voted Best Development in Queensland by the Property Council of Australia (PCA) in 2011
  • Extended for an additional five years in July 2016 with a high vote in favour of renewing. 77.8% of unitholders who voted, voted in favour to extend the Trust term