Westbridge sheds last asset from diversified fund
Westbridge Funds Management has sold the final asset from the Diversified Property Trust delivering unitholders a 156.6 per cent net return over the nine year lifespan.
The group is banking $9.6 million – a 5.8 per cent net passing yield – from KM Property Fund for the industrial investment with two buildings at Lynbrook, 36 kilometres south east of Melbourne.
Ausbricks and OneSteel’s Infrabuild are the occupiers; there is a total 3393 square metres.
The weighted average lease expiry is three years.
The site – known as both 6-10 Business Park Drive and 42 Northey Road, and highly exposed to the Western Port Highway – spreads 1.26 hectares zoned Commercial 2.
Westbridge paid $6m in July, 2015.
It was represented for the sale by Cushman & Wakefield’s Charlie Holmes and Chris Jones.
The deal comes a week since we reported the manager banked $7.2m – a 4.9pc net passing yield – for an IGA-anchored retail complex at Maroochydore (pictured, top).
Three months ago meanwhile, Westbridge, for the Diversified Property Trust, sold a Ravenhall, Melbourne, industial investment while last year it offloaded an Altona North office/warehouse held seven years.
In a short period prior to that, assets in Perth’s Ellenbrook and Henderson were sold.
Westbridge head of Commercial Funds, Alex Lambert, said more than 40 leases were transacted for portfolio assets over the nine years.
Occupancy stayed at near 100pc, according to the executive.
Chairman Damian Collins added the net internal rate of return for unitholders will be 17.3pc.
“This is a very significant result for an income-focused fund,” he said.
“This was the flagship fund in Westbridge’s Diversified Fund series (now four funds strong) and from beginning to end, we have been able to deliver great returns to our investors over the…period,” according to the executive.
In February we reported the fund manager seeded a fund with a $30m Brisbane warehouse.
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