The aim of the Property Income Fund is to provide investors with returns derived principally from rental income with the potential for enhanced capital return.
The Fund has invested in smaller, higher yielding properties with the objective of delivering above average rental income. Portfolio risk is reduced through investing across three property sectors (commercial, retail and industrial), a large number of properties geographically spread, and a wide range of tenants and lease terms.
During the investment period, the strategic investment bias was to invest in assets between $10 million to $50 million per asset and would be bought and sold during the life of the Fund to take advantage of market opportunities and maximise investment performance.
The Fund is an unlisted wholesale trust which is closed to investors. The Fund has now reached maturity and is in the process of being wound up.
Key features - Ordinary Class Units Only
18 remaining property assets* (having peaked at 42 assets in 2007)
24 assets transacted to date* have delivered a total premium to passing valuation of 14.1%
The Fund has no gearing, having repaid debt facilities in 2011
The total return over the 10 year life of the Fund was 10.10% per annum**, outperforming the benchmark by circa 60 basis points
Access to the expertise of AMP Capital’s property investment team’s experience in property investment and management
*As at 31 December 2011
**As at 30 June 2011