01 April 2016

External valuations as at 31 March 2016 of the three direct property assets owned by the Cromwell Direct Property Fund (the Fund) have provided good news for Fund unitholders, with all three assets having increased in value.  The three direct property assets of the Fund are:

  • 64 Allara Street, Canberra ACT;
  • Masters Parafield, Parafield Airport, Main North Road, Parafield SA; and
  • Bunnings asset located on the corner of Curtis Road and Frisby Road, Angle Vale SA.

64 Allara Street increased in value by 2.4% to $17.2 million, up from $16.8 million as at 1 June 2015.  The increased valuation was underpinned by increased income from tenants following minimum annual rental reviews.

Masters Parafield ‘as if complete’ valuation increased by 0.7% to $27.6 million, up from $27.4 million.  Practical completion of the property is expected for June 2016.

Bunnings ‘as if complete’ valuation increased by 1.1% to $27.8 million, up from $27.5 million. Practical completion of the property is expected for July 2016.

The Masters Parafield and Bunnings ‘as if complete’ valuations increased as a result of reduced stamp duty transaction costs imposed by the Government of South Australia.

The updated valuations will affect the unit price for units issued and redeemed on and from 1 April 2016.  

If you would like to know more about the Cromwell Direct Property Fund please visit www.cromwell.com.au/DPF, or contact Cromwell Investor Services on 1300 CROMWELL (1300 276 693) or email invest@cromwell.com.au.

Cromwell Funds Management Limited ABN 63 114 782 777 AFSL 333214 (“CFM”) has prepared this notice and is the responsible entity of, and the issuer of units in, the Cromwell Direct Property Fund ARSN 165 011 905 (“Fund”). In making an investment decision in relation to the Fund, it is important that you read the product disclosure statement dated 21 August 2013 (“PDS”) and the supplementary product disclosure statement dated 28 May 2014 (“SPDS”). The PDS and SPDS are issued by CFM and are available from www.cromwell.com.au/dpf or by calling Cromwell Investor Services on 1300 276 693. Applications for units in the Fund can only be made on the application form accompanying the PDS with approved wording, or an approved sticker, confirming that the applicant has received, read and understood the SPDS. This notice has been prepared without taking into account your objectives, financial situation or needs. Before making an investment decision, you should consider the PDS and SPDS and assess, with or without your financial or tax adviser, whether the Fund fits your objectives, financial situation or needs. CFM and its related bodies corporate, and their associates, do not receive any remuneration or benefits for the general advice given in this notice. If you acquire units in the Fund, CFM and certain related parties may receive fees from the Fund and these fees are disclosed in the PDS and SPDS.

Please note: Any investment, including an investment in the Fund, is subject to risk. If a risk eventuates, it may result in reduced distributions and/or a loss of some or all of the capital value of your investment. See the PDS and SPDS for examples of key risks.

Past performance is not indicative of future performance. Forward-looking statements in this notice are provided as a general guide only. Capital growth, distributions and tax consequences cannot be guaranteed. Forward-looking statements and the performance of the Fund are subject to the risks and assumptions set out in the PDS and SPDS.