Main asset: Bunnings Kingston, Tas
Year started: 2016
Original value: $18.9 million
Minimum investment: $500,000
A new hardware warehouse facility being constructed by Bunnings Group Limited located in one of the fastest growing regions of Tasmania.
National tenant on a long term lease
An agreement to lease the building to “Bunnings Group Limited” (a subsidiary of ASX-listed Wesfarmers Ltd) was secured for a term of 12 years (plus eight additional 6 year options) from the date of completion.
Attractive regular tax-advantaged returns
Depreciation and building allowances mean a high proportion of this income will be tax-advantaged. Details on page 17 of the Information Memorandum.
Potential for capital growth
Long term population growth forecast for the region and xed rental growth augurs well for future capital price appreciation. Details on page 5 of the Information Memorandum.
Experienced manager with a proven track record
The Trustee, MPG Funds Management Ltd and parent entity McMullin Group have over 35 years of commercial property investment, management and development experience including 15 years dealing with Bunnings investment properties.
Defined Exit Strategy
The Trust has a defined exit strategy at the end of seven years. Detailed on page 10 of the Information Memorandum.
Reduced capital volatility
Australian direct property has historically experienced lower volatility than listed Australian and international shares and REITs.
*Forecasts are estimates only and are not guaranteed to occur. Please refer to the Information Memorandum for details relating to forecasts.
Status : Closed
$500,000 or $50,000 to approved sophisticated investors
Dividend reinvestment plan
The Constitution allows Unitholders to withdraw in limited circumstances. An investment in the Trust is to be considered illiquid. The Trust is to be considered a long term investment with an initial term of of seven years with the exit mechanism as outlined on page 10 of the PDS.
7.25 cents per unit pa*
Net Tangible Assets
$0.90 per unit
Weighted average lease expiry