14 July 2015
Cromwell Funds Management Limited ABN 63 114 782 777 AFSL 333214 (“CFM”) has acquired a property at 64 Allara Street, Canberra, ACT (“Allara Street Property”) on behalf of the Cromwell Direct Property Fund ARSN 165 011 905 (”the Fund”) for$16.8 million. Settlement is expected to occur on 20 July 2015.
The asset is the second direct property investment for the Fund, which also holds stakes in four of Cromwell’s ‘back to basics’ property trusts. In addition, the Fund recently entered into a fixed price development agreement to construct a Masters store and three smaller retail premises at Parafield Airport, Main North Road, Parafield, SA.
The Allara Street Property is a seven level commercial office building, with two levels of basement parking, ground floor retail accommodation and four levels of commercial space above. The building was constructed in November 2008, with a total NLA of 3,155m², in addition to 209m² of storage and 98 car parking bays .
The Allara Street Property is currently leased to Jacobs Australia, CIC Australia, Airservices Australia and AG Coombs Group. The major leases to Jacobs and CIC provide a secure cash flow with 90% of gross passing income collectively, and lease expiry dates in 2021 and 2018, respectively.
Cromwell Direct Property Fund invests directly, or through unlisted property trusts, in non-residential Australian property with a primary focus on commercial, industrial and retail property. It currently has exposure to seven properties located in Queensland, Victoria, Australian Capital Territory and South Australia.
If you would like to know more about the Cromwell Direct Property Fund please go to www.cromwell.com.au/DPF or call Cromwell Investor Services on 1300 276 693.
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 correspondence 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.