The office/warehouse property located 11km from the Perth CBD was purchased as part of a broader industrial value add fund.
- The Westbridge Industrial Total Return Fund is a wholesale fund designed to deliver income and capital appreciation via a value-add strategy.
- The Fund seeks to acquire up to three industrial properties across Perth.
- The Westbridge Industrial Total Return Fund has just settled on its first property – a modern office/warehouse complex fully leased to Hobson Engineering.
Perth (25th August): Westbridge Funds Management has settled on the first property of its latest wholesale fund – the Westbridge Industrial Total Return Fund.
The Westbridge Industrial Total Return Fund is designed to deliver a blend of income and capital appreciation via a value-add strategy. The fund will achieve this objective by focusing on acquiring up to three industrial assets in key industrial precincts across metropolitan Perth, with a mix of single and multi-let assets.
The Westbridge Industrial Total Return Fund recently settled on its inaugural property – a modern office/warehouse complex located at 133 Beringarra Avenue, Malaga just 11 kilometres north of the Perth CBD.
Built in 2009, the property features a prominent and accessible land holding of 1.38 hectares in close proximity to Reid Highway and the recently upgraded Tonkin Highway.
The property is fully leased to Hobson Engineering, a national operation with seven facilities across Australia.
The acquisition is underpinned by land value worth close to 62% of the $10 million purchase price. Favourable rent review mechanisms allow investors to capitalise on strong forecasted short-term inflation.
Mr Damian Collins, Chairman, Westbridge Funds Management, said "The primary purpose of the Westbridge Industrial Total Return Fund is to secure under-performing industrial assets and reposition them to meet undersupply in the market.
"The assets suitable for the Fund may have some leasing risks and/or requirements to modernise through refurbishment. However, strong underlying attributes will provide opportunities to reposition and add value.
"We believe the Malaga property is an ideal first asset for the Westbridge Industrial Total Return Fund. The purchase price is below replacement cost, and there is opportunity to capitalise on the strengthening Perth industrial market with limited new supply, rental growth and yield compression forecast," concluded Mr Collins.
The Westbridge Industrial Total Return Fund has an initial distribution target of 6% p.a. and a 3-year timeframe. The Fund is fully subscribed however investors can register their interest in future funds at westbridgefunds.com.au.
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About Westbridge Funds Management
Westbridge Funds Management has been helping investors grow their wealth through advanced property investments for more than 20 years. Applying a unique research-driven and investor-first approach, Westbridge provides access to a range of unique commercial and residential property investment opportunities that are focused on generating long-term outperformance.
Westbridge Funds Management manages over $750 million of commercial and residential property funds and 20+ residential development projects. The company specialises in property acquisition, commercial and residential funds management, commercial property management and multi-unit residential developments.
