The Investment Portfolio consists of 7 properties located in Brisbane, Sydney, Canberra, Melbourne and Goulburn.
The following table summarises the key details of the portfolio:
Property
Location
Asset Type
Major Tenant
Initial Lease
Duration
Lease Start Date
Value Base Capitalisation Rate
Director's Valuation
$m(1)
Portfolio %
Thiess Corporate HQ
QLD
A-grade Office
A subsidiary of Leighton Holdings
10 yrs
June 03
8.25%
$65.00
28.6%
Fujitsu Centre
QLD
A-grade Office
Fujitsu
6 yrs
May 04
9.00%
$26.00m
11.4%
ATO Hurstville
NSW
A-grade Office
Commonwealth Government
10 yrs
February 05
8.75%
$53.50m
23.6%
Gouldburn
NSW
B-grade Industrial
Vendor Rental Guarantee
3 yrs
July 07
10.50%
$10.25m
4.5%
EDI Rail HQ
NSW
A-grade Industrial
EDI Limited
10 yrs
September 00
9.50%
$6.30m
2.8%
DOTARS building
ACT
B-grade Office
Commonwealth Government
7 yrs
July 10
8.75%
$17.40m
7.7%
Melbourne Broadcast Centre
VIC
A-grade Office
Seven Network
15 yrs
June 03
7.50%
$48.50m
21.4%
Totals
(Weighted Yield)
8.47%
$226.95m
100%
The weighted core yield has remained stable (from June 2009) at 8.47% as at 31 December 2009.
The focus for investment properties is to renew expiring tenant leases. In this regard the Department of Infrastructure has entered into a new 7 year lease over levels 3, 4 and 5 of the DOTARS Building, commencing in August 2010 (the tenant has the option to hand back level 3 in 2013 or 2015)
Lease terms have also been agreed for a new 5 year lease with Fujitsu (reduced area) and Redchip Lawyers (increased area) for the Fujitsu building.
Notes
1) Director's Valuations are supported by independant valuations dated June 2009
