MPF makes foray into Queensland
Momentum Wealth’s sister company, Mair Property Funds (MPF), has continued its recent expansion to Australia’s east-coast with its first commercial acquisition in Queensland.
The funds manager acquired a modern retail premise in Maroochydore for $4.675M on a 7% yield.
The asset is anchored by IGA until 2027, which makes up to 62% of the income, and is accompanied by three other tenancies, including Pizza Hut for 10 years.
The acquisition is MPF’s first in Queensland and provides strong lease covenants in a modern retail centre, located in a growing area.
The centre is located adjacent to Suncentral, a 50-hectare development for the proposed Maroochydore CBD, which was a major incentive for MPF to acquire the site.
The asset was acquired as part of MPF’s MPS Diversified Trust, which was launched in 2015 and has already acquired an industrial property in both Western Australia and Victoria.
Fund raising for the Queensland premise was completed within a few days by existing investors in the MPS Diversified Trust.
The trust pays distributions to investors of about 8% each quarter and MPF is expecting to make another acquisition in the coming months.
The acquisition takes the value of commercial properties under management by MPF to $165 million across three states.
Momentum Wealth merged with Perth-based MPF in 2015.