APN Regional Property Fund

The APN Regional Property Fund (ARSN: 110 488 821) is an unlisted direct property fund which invests in a portfolio of office properties located in Newcastle, NSW.

Open for new investors


1. Forecast distribution rates are not promised nor guaranteed, and are calculated in accordance with the assumptions outlined in the Product Disclosure Statement dated 4 February 2019. Returns are not guaranteed.
2. As at 1 May 2019.

AT A GLANCE

Units are available to purchase

Please read the Product Disclosure Statement (PDS) and fill out an application form. For assistance, call our Investor Services team on 1800 996 456 or email us at apnpg@apngroup.com.au.

Commencement date
28 October 2004
Investment type
Direct property fund with liquidity event planned in 2024
Management fee
0.65% of Gross Asset Value per annuum
Properties
Two A-grade office buildings, each seven levels, located in the heart of Newcastle's CBD. 26 and 28 Honeysuckle Drive, Newcastle NSW.
Major tenant
Property NSW, Sparke Helmore Lawyers, QBE and Fairfax Media Limited, Yancoal Aus Pty Ltd
Weighted average lease expiry
3.2 years by income (as at 1 May 2019)
Property value
$51.8 million (Independent valuation as at 31 January 2019)
Net Asset Value
$1.4052 history
Investment term
5 years
Distributions
7.10% in FY20
Minimum investment
$10,000
Distribution frequency
Paid quarterly
Gearing
33%
Liquidity
Liquidity event planned in 2024

The APN Regional Property Fund offers investors the opportunity to invest in Australia’s strongest non-metro office market at an attractive entry price. 

The two A-grade office properties, that have recently undergone a major asset enhancement program, are located in the fast-growing region of Newcastle with access to excellent transport options. The buildings are well leased to Government and national corporate tenants, underpinning stable and secure rental income.

Newcastle – fast growing region


3. January 2019, Colliers International.
4. ABS REI NSW Newcastle Regional Plan 2036.

Key highlights

  • Attractive valuation, supporting strong capital growth potential
  • No stamp duty or asset acquisition costs
  • 164 secure car parking spaces and close to bus, train and light rail
  • New state of the art end of trip facilities, bathrooms and foyer refurbishments
  • Energy efficient buildings with estimated NABERS rating of 4.5 stars
  • Conservatively geared at 33% (target range of 30-45%)
  • Rental growth, with 3-4% annual fixed rent reviews
  • Managed by a specialist property manager with more than 14 years local Newcastle knowledge

Tenant profile

Fund total return

APN has managed the Fund since 2004 and has delivered a total return of 9.4% pa since inception.

Note: Performance is based on the original fully paid units at $1.00. Fund Inception date 28 October 2004. Past performance is not necessarily a guide to future performance.

Important information for existing investors

Voluntary suspension and withdrawal from the NSX

As a result of the EGM; the Fund has voluntarily withdrawn from the National Stock Exchange (NSX) effective from 21 June 2019. The next liquidity event will be offered in 2024.

Unit Certificates

All Unit Certificates dated prior to Tuesday, 16 April 2019 are cancelled and cannot be used to trade APR units on the NSX and we request that these certificates be destroyed or returned to APN FM.

Risks
As with all investments, an investment in the Fund will be subject to risks, some of which are outside the control of the Responsible Entity and the Directors. All investments are subject to varying degrees of risk and investments generally go up, as well as down, in value. Asset classes perform differently at different times and have different risk characteristics and volatility. When you consider an investment in the Fund, you should consider your personal risk tolerance. Past performance is no guarantee of future performance. The Responsible Entity does not guarantee the income of the Fund or the return of capital to investors. It is important that you read the Product Disclosure Statement in full before deciding whether to invest and consult your financial adviser, stockbroker or other professional advisers should you require advice or clarification.

Disclaimer
This information has been prepared by APN Funds Management Limited (ACN 080 647 479, AFSL No. 237500) (the “Responsible Entity”) as the responsible entity and issuer of the financial products in respect of APN Regional Property Fund (ARSN 110 488 821). Information contained is current as at 4 February 2019 and does not constitute financial product advice and does not purport to contain all relevant information necessary for making an investment decision. It is provided on the basis that the recipient will be responsible for making their own assessment of financial needs, will read the Product Disclosure Statement in full and will seek further independent advice about investments as is considered appropriate. This webpage does not constitute an offer, invitation, solicitation or recommendation with respect to the subscription for, purchase or sale of any security, nor does it form the basis of any contract or commitment. It is important that you read the Product Disclosure Statement in full before deciding whether to invest and consult your financial adviser, stockbroker or other professional advisers should you require advice or clarification.

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