360 Capital Canberra Trust
strategy
On 24 August 2011 Unitholders approved the extension of the Property sale window for three years, which is expected to facilitate a repositioning of the property and allow divestment in an improved market.
The performance of the Trust is determined by macroeconomic factors such as the health of the economy, interest rates and the strength of the Canberra commercial property markets; asset management success in the underlying property as well as capital and fund management initiatives.
Forecast FY2012 distributions of 8.50cpu are unchanged on the previous year reflecting the fixed rent review structure in the lease and represent an 8.5% distribution yield on original equity.
360 Capital is focusing on the following three strategic areas:
- Reposition the asset - by extending near term lease expiries and implementing a leasing campaign to strengthen the security of income for the asset.
- Reassess the asset - to take into account the value that has been added in the context of the Canberra real estate investment marketplace and the general marketplace overall and establish the optimum time to dispose of the Property.
- Refinance - following the extension of the Property sale window, the Trust entered into a new three-year finance facility.
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