Centuria Property Funds Limited (Centuria)’s 203 Pacific Highway Fund has received the prestigious Unlisted Property Fund of the Year 2016 accolade at the Property Investment Research (PIR) awards. It is the second year running that Centuria has received the fund of the year award, which last year was taken out by Centuria’s 8 Central Ave Fund No 2.
The Centuria 203 Pacific Highway (the Fund) is a closed-ended, single asset fund. It is a 50% leasehold of an A-grade office building located prominently in The Forum, in the heart of the
St Leonards business district, five kilometres north of the Sydney CBD. The remaining 50% leasehold is held by the Centuria Metropolitan REIT (CMA).
Commenting on the award, Jason Huljich, CEO – Unlisted Property Funds at Centuria, said he was delighted that the fund had been recognised by the PIR.
“This award is a feather in the cap for Centuria, and reinforces our view that Sydney’s North Shore market is performing strongly and will continue to deliver returns to investors over the longtermsaid Mr Huljich.
The Fund previously received an AA rating from PIR, indicating a vote of confidence in the Fund and Centuria’s ability to select well performing assets for investors.
203 Pacific Highway is a premium office building constructed in 2000. It features modern amenities, views over the Sydney CBD and 11,737sqms net lettable area (NLA). It is currently 100% leased to tenants including Primary Healthcare, Cardno and Verizon. The Weighted Average Lease Expiry (WALE) is 4.4 years.
Mr Huljich said that Centuria believes the outlook for St Leonards is very positive, as residential conversions continue to reduce competing office stock, while the Sydney Metro project will improve connectivity for workers.
“Falling vacancies and strong rental growth as a result of residential conversions and the withdrawal of commercial office space in the area is contributing to rental growth and the performance of this market. The Fund is an excellent example of Centuria identifying a well- performing asset in an excellent location, with opportunities to add value for investors,” said Mr Huljich.
