Press Releases
26-09-2007
Reed Property Trust Acquires BlueScope Steel on
Reed Funds Management Limited (RFML), a division of Reed Property Group, has increased the assets of its unlisted Reed Property Trust with the purchase of a $5 million purpose built industrial facility for BlueScope Steel Lysaght in Coolum on the Sunshine Coast.
The acquisition takes the Trust’s income-bearing assets to $110 million as part of a steady growth plan since being launched in September 2005.
Director of RFML, Tory Richards said the acquisition introduced effective sectoral diversification into the Trust’s investment portfolio as well as supporting the increase of production industry infrastructure on the Sunshine Coast.
“It has long been the cry at economic development forums that the Sunshine Coast has to set its infrastructure and land supply targets to attract a greater diversity of industries,” Ms Richards said.
“Large scale industrial type enterprises such as BlueScope are critical to the economic balance and future growth of the region.”
The 2,850 square metre facility incorporates two lots in the new Centra Park Coolum industrial estate (41 Quanda Road), situated between Maroochydore and Noosa.
Ms Richards said that the acquisition provided a stable income for the Trust with BlueScope Steel Limited taking out a long term lease.
“The Reed Property Trust delivered a total return of 17.7% on each dollar invested in its second year of operation and our latest acquisition will maintain the 100% tax-deferred benefit on income paid to investors for the 2007/2008 financial year,” Ms Richards said.
The sale-and-leaseback was undertaken by CB Richard Ellis through a highly competitive tender process. Sales Agent for CBRE, Edward Bull said BlueScope Lysaght is the premier manufacturer of steel building products on the Sunshine Coast.
“It was exciting to be able to sell the blue-chip facility to a significant contributor to business and investment on the Coast, the Reed Property Trust,” Mr Bull said.
The Bluescope Steel vendors and developers of Centra Park, Buildev, Eureka Funds Management and Australian Property Network, last month sold the balance of industrial land in the estate to Watpac Developments for $17.26 million in an off-market deal negotiated by Mr Bull.
RFML is a wholly owned division of Reed Property Group, a family owned company, based on the Sunshine Coast, with a solid 20 year performance in construction, development, hospitality, childcare and charitable endeavours.
All up, the diversified Trust has $110 million worth of direct property assets including Silver @ The Exchange at Varsity Lakes on the Gold Coast, the APN Publishing Facility at Yandina, Sunshine Coast retail centres, Chancellor Village Homemaker Centre, Chancellor Village Convenience Centre and Noosa Gateway.
The Reed Property Trust is a continuous issuer and is open for investment.
To request a copy of our Product Disclosure Statement for the Trust, please call toll free 1800 882 585, email info@reedfunds.com.au or visit www.reedproperty.com.au
Disclaimer: This is not an offer of investment in the Trust, nor a recommendation to invest. To take advantage of this investment opportunity, please contact Reed Securities Pty Ltd (the Distributor) to be sent the Product Disclosure Statement or to attend one of our free information sessions. Tory Richards, Director Reed Funds Management, would also be very pleased to discuss further details as required.
*Full details of the initial expected distributions, including the assumption on which they are based and the risks associated with an investment in the Trust, will be set out in the PDS.
Ends.
More information, interviews or images:
Amber James
Communications Manager Reed Property Group
Ph: (07) 5479 4444
Mob: 0403 000 330
Email: ajames@reedproperty.com.au
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