Core Property has reviewed the Stronghold Precincts Property Fund, an open-ended property fund that invests in commercial properties located in metropolitan business parks. The Fund is managed by Stronghold, a specialist fund manager focused on business park assets. Stronghold is majority owned by the Graystone Group, a recognised property developer and manager of business parks in southeast Queensland.
The Fund currently invests in four properties valued at $47M which are located in the Brisbane Technology Park and Westlink Green Business Technology Park in Queensland. The Manager is looking to build the portfolio to $400M over the medium to long term with growth expected to come from existing Stronghold assets as well as new and existing assets accessed through the Graystone Group.
The Fund is open-ended and investors may purchase units on a monthly basis, with the current Issue Price of $1.139 per unit (at October 2021).
The Manager is currently targeting a distribution yield of 6.9% p.a. (annualised) in FY22 and 7.1% p.a. in FY23, based on the current Issue Price.
Core Property has rated the Fund as RECOMMENDED.