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11 May 2022 Posted by 

PROPERTY FUND SELLS SMITH ST ASSET

AUSTRALIAN Unity’s $615M Diversified Property Fund has sold a further asset at a premium to book value in line with the portfolio’s re-positioning strategy.
 
On April 26, the Fund exchanged binding contracts of sale for 20 Smith St, Parramatta, NSW, an eight-storey office building of 7,352 metres2 for $87.251M, a premium of circa. 4.5% against its December 2021 book value.
 
This follows the sale of an industrial property at 19 Corporate Avenue, Rowville, Victoria in December 2021 for $27.85M, at a 26% premium against the book value prior to the sale.
 
Jonathon Senior, Fund Manager for the Australian Unity Diversified Property Fund said both sales demonstrate effective management of the portfolio and are in line with the Fund’s stated re-positioning strategy to recycle capital into significant development projects at neighbourhood shopping centres in Blackburn, Victoria and Busselton, Western Australia.
 
“The sale of 20 Smith St Parramatta increases the Fund’s weighted average lease expiry to 8.4 years from 7.5 years with sale proceeds ultimately being used to fund the two key development projects through to completion,” said Jonathon Senior, Fund Manager for the Australian Unity Diversified Property Fund.
 
Investors will receive a special distribution following the disposal of 19 Corporate Avenue, Rowville and of 20 Smith St, Parramatta on June 30, 2022 which will be in addition to the Fund’s regular income distribution payment. 


editor

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Michael Walls
michael@accessnews.com.au
0407 783 413

Western Sydney Business Access (WSBA) covers the business and community issues of the Greater Western Sydney region of Australia. WSBA is the popular media source for connecting with the pulse of the region and tapping into it's vast opportunities and networks.