Fund manager swoops on another SDA investment
Barwon Investment Partners has bought a new NDIS-approved Specialist Disability Accommodation investment for $3.75 million – a 9.1pc fully let yield – for a three year old trust targeting these assets.
At 58 Armstrong Road, Cannon Hill (pictured, top), the two storey building contains four apartments and four overnight assisted studios – all single resident.
The Uniting Church of Australia Property Trust, represented by Wesley Mission Queensland, is the occupier on an initial lease expiring in March, 2031.
The not for profit operates many assets of this type nationally.
Saorsa Health was the developer and vendor; it paid $670,000 in February, 2020, for the 607 sqm block which at the time contained a weatherboard house.
Cannon Hill is about 13 kilometres east of Brisbane’s CBD.
The suburb accommodates the headquarters of jeweller Michael Hill – an asset which sold for $36m in 2021.
CBRE’s Jack Morrison and Adelaide O’Brien were the agents (story continues below).
Scaled growth
The Barwon Specialty Disability Accommodation Fund, or BDAF, was established in mid-2021.
BIP has scaled its portfolio – prior to Cannon Hill, the trust held eight properties with 82 residences, a mix of apartments, villa units and houses, accommodating 117 people.
Ten months ago we reported the group outlaid $31.25m for three facilities – one in Melbourne’s Dandenong South and two in Western Australia, in Bunbury and Geraldton.
Its book also includes two investments in each of New South Wales and another Queensland asset, at Brisbane’s Arana Hills.
BIP is aiming for BDAF to return a total 8-10pc (this was 11.1 pc for the 12 months ended January, 2024) and to deliver a 5-7pc distribution yield (actually 5.31pc for the same period).
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