Charter Hall has announced its unlisted property fund, Direct Office Fund, is now available to financial advisers following increased demand.
In a statement yesterday, Charter Hall said its Direct Office Fund (DOF) is now available to advisers through BT, Macquarie, CFS, Hub24, Netwealth and Powerwrap platforms as interest in DOF continues.
“The unlisted property fund, DOF, invests in a diversified and growing portfolio of high-quality Australian office properties. It currently comprises a portfolio of 10 fully leased office buildings in Sydney, Melbourne, Brisbane and Perth valued at more than $1 billion,” the firm said.
Head of Charter Hall Direct Steven Bennett said interest in DOF continues from high-net-worth investors, self-managed super funds, investors in retail super and pension platforms and advised investors.
“Overall, we see a noticeable increase in interest for institutionally managed direct property funds, which are providing a starting yield to investors above 6.0 per cent for high-quality assets with conservative gearing,” Mr Bennett said.
DOF’s investment strategy is to acquire core Australian commercial real estate, on long leases with high-quality covenants, the firm said.
“Despite the recent broader listed market volatility, unlisted investor demand for direct property remains robust due to the income yield and growth in distributions driven by long leases with fixed rental growth,” Mr Bennett said.
DOF has returned an average of 17.1 per cent per annum (on Wholesale A Units) compared with the benchmark (MSCI/IPD Australian Unlisted Wholesale Property Fund Index) of 12.1 per cent per annum since 2014, Charter Hall said.
SUBSCRIBE TO THE IFA DAILY BULLETIN
- 16 Mar 2018CBA CEO pushed for FOFA extensionBy James Mitchell and Aleks Vickovich
- 16 Mar 2018CPA dealer group clashes with FASEA requirementsBy Katarina Taurian
- 16 Mar 2018NAB launches virtual assistant for superBy Staff Reporter
- 15 Mar 2018IFA-focused platforms open to new strategiesBy Staff Reporter
- 15 Mar 2018Deakin eyes advisers to fill staff demandBy Killian Plastow
- 15 Mar 2018Adviser Innovation Summit 2018 agenda announcedBy Staff Reporter
- view all