Key Benefits

  1. Strong yield premium to term deposits
  2. Tax effective investment
  3. Long WALE, leased predominantly to government
  4. Monthly distributions

Yield

yield

9.8%

as at 31 March 20211

C12 Unitholder Meeting

Trust Details

Cromwell's 12th unlisted property trust provides exposure to a single asset, located at 19 George Street in Dandenong, VIC.

Distribution This simple, tax effective investment has a strong monthly distribution, which commenced at 7.75% pa2. The distribution converts to 5.75 cpu pa from 01 July 2021 following sale of the Rand Distribution Centre in December 2020 as part of the Rollover Proposal in December 2020.
Investments The Trust was originally underpinned by three properties: an existing building at South Melbourne in Victoria, a distribution facility in South Australia, and a commercial office building at Dandenong in Victoria, which reached practical completion on 01 October 2015. The properties in the initial portfolio were 100% occupied and 96% leased to Government or blue chip tenants, with an average annual minimum rental review of 3.8%.
Benchmark PCA/IPD Australian Pooled Property Fund Index - Unlisted Core Retail Index
Date commenced October 2013
Trust MaturityOctober 20253

Investment Strategy

This ‘back to basics’ property trust replicates many features of Cromwell’s other unlisted property trusts including the seven year investment period, innovative construction funding structure and long lease term.

With low interest rates reducing the yields offered by cash and term deposits, and no exposure to the vagaries of the sharemarket, this simple, tax-effective investment was highly sought after by investors, and fully subscribed within eight months.

How to Apply?

Although the Trust is fully subscribed, it is possible to still gain exposure to it by investing in the Cromwell Direct Property Fund.