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GDI fund targets 7.75% yield from Perth car dealerships

 GDI fund targets 7.75% yield from Perth car dealerships

Core Property has reviewed the GDI No.46 Property Trust, the latest unlisted property fund offering from GDI Property Group.

The Fund is seeking to raise $75.7M from investors to acquire a portfolio of car dealerships in Perth WA. The 17 properties are located on major arterial roads in metropolitan locations 10-21 kms from the Perth CBD.

The properties are fully leased and provide for long term tenancies with a Weighted Average Lease Expiry of 11 years, as well as 5x5 year options for renewal.

GDI is forecasting initial distributions with a 7.75% yield (annualised), increasing to 8.0% in FY21.

The Fund is open to Wholesale investors only, with a minimum subscription of $50,000.

Core Property has rated the Fund as RECOMMENDED.