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CROMWELL PROPERTY GROUP Interim / Quarterly Report 2014
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Interim / Quarterly Report
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RTY $\bigcup$ $\mathsf{P}$ $\zeta$ $\bigcap$ $\overline{\phantom{a}}$ $\bigcap$ $\bigcap$ DECEMBER 2013
Cromwell Property Group is an Australian Real Estate Investment Trust (A-REIT) and Fund Manager with over \$3.5 billion in assets under management.
ABOUT US
Listed on the Australian Securities Exchange (ASX: CMW), Cromwell Property Group has over \$3.5 billion in assets under management and manages 32 commercial properties throughout Australia.
Cromwell actively manages its property assets with a focus on delivering long term property and investment performance.
Cromwell delivered operating earnings of over \$73 million in the first half of the 2014 financial year from the Group's property portfolio and funds management business.
Cromwell is well placed to continue to deliver the strong property income returns historically achieved, whilst being able to take advantage of current market conditions to continue to buy quality property at attractive prices.
ASSETS UNDER MANAGEMENT
1.) Assumes completion of property currently under construction.
KEY FEATURES
96% of income is derived from Cromwell's directly held, \$2.3 billion, property portfolio
Security price of \$0.975 at 31 December 2013 represents a distribution yield of 7.7% pa
Australian focus. No exposure to offshore markets
Defensive portfolio with strong cash flow and long weighted average lease expiry
Experienced and stable executive team
Award winning funds management business
In-house property management
INTEGRATED PROPERTY MANAGEMENT MODEL
Cromwell's philosophy is to actively manage all property assets in-house.
This internalised property management model is one of the Group's key competitive advantages. The property team oversees the strategic management of the assets, ensuring that tenants are happy, space is leased, buildings are operating efficiently and projects are delivered on time and on budget.
By keeping these functions in-house, Cromwell ensures that assets are managed in accordance with the interests of investors and to the expectations of tenants.
Cromwell's experience and approach to commercial asset management puts Cromwell at the forefront of the industry and the internalised model creates a seamless link between investors, the assets and their tenants.
Cromwell's approach is to constantly improve tenant satisfaction, property income returns and capital value.
PORTFOLIO OVERVIEW
ENVIRONMENTAL SUSTAINABILITY
As a long term property owner, environmental sustainability is an important pillar of Cromwell's business.
Cromwell has applied the National Australian Built Environment Rating System (NABERS) to measure the operational impacts of its properties* on the environment. By reducing our reliance on natural resources we can also achieve operating efficiencies for the benefit of all stakeholders.
PORTFOLIO NABERS RATING*
* NABERS assessments are not undertaken for some assets where the tenant has full operational control and manages the total resource consumption.
Cromwell's income is underpinned by quality income producing Australian assets with strong tenant covenants.
GEOGRAPHIC DIVERSIFICATION BY GROSS INCOME
DIRECT PORTFOLIO STATISTICS1
EXCLUDES PROPERTIES HELD BY MANAGED FUNDS
| DECEMBER 2013 | |
|---|---|
| TOTAL VALUE | \$2.3 billion |
| NUMBER OF PROPERTIES | 28 |
| OCCUPANCY | 96.0% |
| WEIGHTED AVERAGE LEASE EXPIRY | 6.2 years |
| WEIGHTED AVERAGE CAP RATE | 8.3% |
| NET LETTABLE AREA | 494,170 sqm |
PORTFOLIO LEASE EXPIRY PROFILE
% GROSS INCOME BY FINANCIAL YEAR
1.) All statistics include CMW's 50% interest in Northpoint Tower.
TENANT CLASSIFICATION BY GROSS INCOME
SECTOR DIVERSIFICATION BY GROSS INCOME
PROPERTY LEADERSHIP
Paul Weightman MANAGING DIRECTOR / CEO Phil Cowling DIRECTOR – PROJECT & TECHNICAL SOLUTIONS Bobby Binning DIRECTOR - LEASING
Jodie Clark CHIEF OPERATIONS OFFICER - PROPERTY LICENSEE
Paul has been the key driver of Cromwell's success since inception in 1998.
Paul has extensive experience in property development and investment, financial structuring, public listings, mergers and acquisitions, revenue matters and joint ventures.
Paul was Cromwell's Executive Chairman from 1998-2008 and has acted as a director of companies in the property, energy and retail sectors.
He practised as a solicitor for more than 20 years and holds degrees in commerce and law.
Phil is a Chartered Engineer with over 25 years experience in building design, facilities and property management in Australia and the United Kingdom.
Philip's primary responsibilities include technical due diligence on acquisitions and the management of new development projects.
Philip is the Group's registered NABERS assessor, a green star professional and holds membership of the Energy Institute, the Institution of Occupational Safety and Health and is Qld Chairman for the Chartered Institution of Building Services Engineers. Philip also serves on the Property Council of Australia's sustainability and national building codes committees.
Bobby is responsible for Cromwell's leasing activities including managing lease renewals with existing tenants, new leases and vacancies across its property portfolio.
Bobby has close to 15 years experience as a property professional with a number of firms in Australia and the United Kingdom.
He has a Bachelor of Business in Property Studies.
Jodie is the Company's Corporate Real Estate Licensee across Australia and the Chief of Operations.
Jodie has 20 years experience in the property industry in Queensland and New South Wales across the commercial, industrial and residential sectors, including a number of development projects.
During this time she has held transactions, property management, business development and sales management positions.
Cromwell has amassed an exceptional team of property experts who work together to ensure that the Group's property portfolio is managed to the highest standard for the benefit of investors and tenants alike.
Michael O'Brien PORTFOLIO FACILITIES MANAGER - NSW/ACT
Trent Logue PORTFOLIO PROPERTY MANAGER - NSW/ACT
Brad Collins PORTFOLIO FACILITIES MANAGER - QLD/VIC/SA/TAS Andrew Page PORTFOLIO PROPERTY MANAGER - QLD/VIC/SA/TAS
Michael is responsible for Cromwell's properties in NSW and ACT. He has extensive experience within the building services industry, spanning more than 27 years and including eight years in engineering services and 20 years as a Facilities Manager.
Michael has managed numerous major refurbishments and sustainability projects, including an award winning roof top garden.
He holds several industry certificates and qualifications in the areas of mechanical design, air conditioning engineering, mechanical fitting and OH & S management.
Trent plays a crucial role within the property services leadership team and is responsible for the overall performance of Cromwell's property portfolio throughout New South Wales and the Australian Capital Territory.
Trent has over 15 years of commercial property experience, having previously worked for Aspen Group, Colliers International and Mirvac.
Brad leads a team of in-house facilities managers and is responsible for properties in QLD, VIC SA and TAS.
Brad was previously State Facilities Manager with Savills and James Fielding Group (VIC), and has 15 years facilities management experience in the commercial, retail and industrial property sectors.
Brad has a Master of Facility Management, is a member of the Facility Management Association of Australia and The Chartered Institution of Building Services Engineers.
Andrew is responsible for the overall performance of the property portfolios in Queensland, Victoria, South Australia and Tasmania.
He has almost 23 years experience in property and asset management including roles with CBRE, Chesterton, Knight Frank and AMP.
As State Director Asset Services with CBRE, Andrew managed 1,500 tenants across a portfolio of 250 properties.
His strengths lie in his focus on profitability and ability to develop client relationships.
Andrew holds a Bachelor of Economics, Graduate Certificate in Property Economics and his Real Estate Licence.
THE ASSETS
Qantas Global Headquarters
MASCOT, NSW
This asset comprises four campus-style buildings strategically positioned near Sydney airport. Qantas has a lease to 2032, reinforcing its strategic commitment to the precinct. Cromwell recently completed a \$131.5 million expansion and refurbishment of the property.
HQ North Tower FORTITUDE VALLEY, QLD
HQ North is a 10-storey A-grade office tower located just two kilometres from the Brisbane CBD. The asset has been awarded a 6 star Green Star-v2 Office Design rating, the highest possible rating by the Green Building Council of Australia.
| ADDRESS | 203 Coward Street, Mascot NSW |
|---|---|
| SECTOR | Office |
| LAND AREA | 27,160 sqm |
| LETTABLE AREA | 46,546 sqm |
| ACQUISITION DATE | August 2010 |
| MAJOR TENANT | Qantas Airways Limited |
| BOOK VALUE | \$320.0 m |
| EXTERNAL VALUE | \$320.0 m (Dec 13) |
| OCCUPANCY | 100.0% |
| CAP RATE | 7.00% |
| PASSING YIELD1 | 7.8% |
| DISCOUNT RATE | 8.75% |
| WALE | 17.6 years |
| ENVIRONMENTAL RATINGS | |
| NABERS ENERGY | Under Tenant Control |
| NABERS WATER | Under Tenant Control |
| ADDRESS | 520-540 Wickham St, Fortitude Valley QLD |
|---|---|
| SECTOR | Office |
| LAND AREA | 8,895 sqm |
| LETTABLE AREA | 29,364 sqm |
| ACQUISITION DATE | December 2011 |
| MAJOR TENANTS | AECOM Australia, Technology One |
| BOOK VALUE | \$200.0 m |
| EXTERNAL VALUATION | \$200.0 m (Jun 13) |
| OCCUPANCY | 99.7% |
| CAP RATE | 8.00% |
| PASSING YIELD | 8.5% |
| DISCOUNT RATE | 9.25% |
| WALE | 4.7 years |
| ENVIRONMENTAL RATINGS | |
| NABERS ENERGY | 5.0 Stars |
| NABERS WATER | 5.0 Stars |
- Reflects passing yield on completion of refurbishment.
321 Exhibition Street
MELBOURNE, VIC
This 20 level office tower occupies a prominent north-east corner of Melbourne's CBD and is 100% leased to Origin Energy. A major refurbishment completed in 2011 meets PCA A Grade standards and was supported by the Green Building Fund.
700 Collins Street MELBOURNE, VIC
700 Collins Street is the gateway to the Docklands Precinct at the western end of the Melbourne CBD. Tenants enjoy uninterrupted views and direct access to the city. The property comprises 12 levels of office accommodation, 3 levels of car parking and various retail areas.
| ADDRESS | 321 Exhibition Street, Melbourne VIC | |
|---|---|---|
| SECTOR | Office | |
| LAND AREA | 2,914 sqm | |
| LETTABLE AREA | 30,200 sqm | |
| ACQUISITION DATE | July 2010 | |
| MAJOR TENANT | Origin Energy | |
| BOOK VALUE | \$190.0 m | |
| EXTERNAL VALUATION | \$190.0 m (Dec 13) | |
| OCCUPANCY | 100.0% | |
| CAP RATE | 7.00% | |
| PASSING YIELD | 7.1% | |
| DISCOUNT RATE | 8.75% | |
| WALE | 7.8 years | |
| ENVIRONMENTAL RATINGS | ENVIRONMENTAL RATINGS | |
| NABERS ENERGY | 5.5 Stars | |
| NABERS WATER | 2.5 Stars |
| ADDRESS | 700 Collins Street, Melbourne VIC |
|---|---|
| SECTOR | Office |
| LAND AREA | 4,836 sqm |
| LETTABLE AREA | 33,848 sqm |
| ACQUISITION DATE | December 2004 |
| MAJOR TENANTS | Bureau of Meteorology, Medibank |
| BOOK VALUE | \$172.2 m |
| EXTERNAL VALUATION | \$172.2 m (Dec 13) |
| OCCUPANCY | 100.0% |
| CAP RATE | 7.25% |
| PASSING YIELD | 8.7% |
| DISCOUNT RATE | 8.75% |
| WALE | 1.7 years |
| ENVIRONMENTAL RATINGS | |
| NABERS ENERGY | 4.5 Stars |
| NABERS WATER | 4.0 Stars |
Tuggeranong Office Park
GREENWAY, ACT
The property comprises five buildings of up to four stories with enclosed walkways between. The basement includes both service areas and 291 car parks with a further 469 open car parks on-site. It is fully leased to the Commonwealth Government.
Northpoint Tower
NORTH SYDNEY, NSW
The landmark Northpoint Tower is a 44 level mixed office / retail complex in the heart of North Sydney comprising 35 office levels, retail space and six basement car parking levels. Cromwell has 50% ownership of the asset, with the balance owned by South African REIT, Redefine Properties Limited (a major Cromwell security holder).
| ADDRESS | Athllon Drive, Tuggeranong ACT |
|---|---|
| SECTOR | Office |
| LAND AREA | 80,780 sqm |
| LETTABLE AREA | 30,757 sqm |
| ACQUISITION DATE | June 2008 |
| MAJOR TENANT | Federal Government |
| BOOK VALUE | \$150.0 m |
| EXTERNAL VALUATION | \$155.0 m (Jun 13) |
| OCCUPANCY | 100.0% |
| CAP RATE | 9.00% |
| PASSING YIELD | 13.6% |
| DISCOUNT RATE | 9.75% |
| WALE | 2.9 years |
| ENVIRONMENTAL RATINGS | |
| NABERS ENERGY | Under Tenant Control |
| NABERS WATER | Under Tenant Control |
| ADDRESS | 100 Miller Street, North Sydney NSW |
|---|---|
| SECTOR | Office |
| LAND AREA | 5,020 sqm |
| LETTABLE AREA | 35,145 sqm |
| ACQUISITION DATE | December 2013 |
| MAJOR TENANTS | Think Education Services, Griffith Hack Lawyers |
| BOOK VALUE | \$139.3 m1 |
| EXTERNAL VALUATION | \$139.3 m1 (Dec 13) |
| OCCUPANCY | 99.5% |
| CAP RATE | 7.63% |
| PASSING YIELD | 8.7% |
| DISCOUNT RATE | 8.75% |
| WALE | 3.0 years |
| ENVIRONMENTAL RATINGS | |
| NABERS ENERGY | N/A |
| NABERS WATER | N/A |
- Reflects 50% ownership of asset. Total asset value, \$278.7m.
207 Kent Street
SYDNEY, NSW
207 Kent Street is a 20-level A-grade property occupying a premium position overlooking Darling Harbour and adjacent to Sydney's new office precinct at Barangaroo.
475 Victoria Avenue CHATSWOOD, NSW
The complex comprises two 13-level office buildings complete with ground floor retail and 3 levels of basement car parking. Office space in the complex comprises a net lettable area of 24,135 square metres while the retail space covers an area of approximately 835 square metres.
| ADDRESS | 207 Kent Street, Sydney NSW | ADDRESS | 475-501 Victoria Avenue, Chatswood NSW |
|---|---|---|---|
| SECTOR | Office | SECTOR | Office |
| LAND AREA | 2,200 sqm | LAND AREA | 6,030 sqm |
| LETTABLE AREA | 21,383 sqm | LETTABLE AREA | 24,971 sqm |
| ACQUISITION DATE | June 2013 | ACQUISITION DATE | March 2006 |
| MAJOR TENANTS | Symantec, Sydney Ports | MAJOR TENANTS | Reed Elsevier Australia, Leightons |
| BOOK VALUE | \$137.0 m | BOOK VALUE | \$135.0 m |
| EXTERNAL VALUATION | \$133.0 m (May 13) | EXTERNAL VALUATION | \$135.0 m (Jun 13) |
| OCCUPANCY | 93.4% | OCCUPANCY | 99.5% |
| CAP RATE | 7.75% | CAP RATE | 8.75% |
| PASSING YIELD | 8.9% | PASSING YIELD | 8.7% |
| DISCOUNT RATE | 9.25% | DISCOUNT RATE | 9.25% |
| WALE | 2.8 years | WALE | 3.4 years |
| ENVIRONMENTAL RATINGS | ENVIRONMENTAL RATINGS | ||
| NABERS ENERGY | 5.0 Stars | NABERS ENERGY | 4.5 Stars |
| NABERS WATER | 3.0 Stars | NABERS WATER | 2.5 Stars |
McKell
Building
SYDNEY, NSW The McKell Building is a 23-level office tower located on Rawson Place, Sydney in one of the CBD's most accessible locations. The building is 100% leased to the NSW Government for a period of 15 years with two further
five year options.
200 Mary Street
BRISBANE, QLD
200 Mary Street is just 125 metres from the GPO and in Brisbane's premier financial district called the Golden Triangle. The 19 level office tower serves as the head office of Cromwell Property Group and enjoys views over the Brisbane River, Brisbane's hinterland and the CBD.
Synergy
KELVIN GROVE, QLD
Synergy is located within Kelvin Grove Urban Village, a master-planned inner-city Brisbane precinct merging business, technology, education and the arts. It is a state of the art A-grade building with a 5 Star Green Star as designed rating.
Bundall Corporate Centre
BUNDALL, QLD
The Bundall Corporate Centre complex consists of two A-grade office towers, a gym and 15,500 square metres of surrounding land on 5 additional titles which provides opportunity for further development.
ADDRESS 2-24 Rawson Place, Sydney NSW SECTOR Office LAND AREA 2,760 sqm LETTABLE AREA 25,251 sqm ACQUISITION DATE June 2013 MAJOR TENANT Government Property NSW BOOK VALUE \$135.0 m EXTERNAL VALUATION \$135.0 m (Dec 13) OCCUPANCY 100.0% CAP RATE 8.00% PASSING YIELD 8.1% DISCOUNT RATE 9.00% WALE 14.5 years NABERS ENERGY 4.0 Stars NABERS WATER 4.0 Stars
| ADDRESS 200 Mary Street, Brisbane QLD |
ADDRESS 76-88 Musk Avenue, Kelvin Grove QLD |
||
|---|---|---|---|
| SECTOR | Office | SECTOR | Office |
| LAND AREA | 1,834 sqm | LAND AREA | 3,878 sqm |
| LETTABLE AREA | 13,846 sqm | LETTABLE AREA | 14,144 sqm |
| ACQUISITION DATE June 2001 | ACQUISITION DATE June 2007 | ||
| MAJOR TENANT |
QLD Government | MAJOR TENANT |
QUT |
| BOOK VALUE | \$81.0 m | BOOK VALUE | \$72.0 m |
| EXTERNAL VALUATION |
\$81.0 m (Jun 13) |
EXTERNAL VALUATION |
\$72.0 m (Dec 13) |
| OCCUPANCY | 78.8% | OCCUPANCY | 100.0% |
| CAP RATE | 8.00% | CAP RATE | 9.0% |
| PASSING YIELD | 9.8% | PASSING YIELD | 10.7% |
| DISCOUNT RATE | 9.50% | DISCOUNT RATE | 9.50% |
| WALE | 1.9 years | WALE | 3.6 years |
| ENVIRONMENTAL RATINGS | ENVIRONMENTAL RATINGS | ||
| NABERS ENERGY | 3.0 Stars | NABERS ENERGY | 5.5 Stars |
| NABERS WATER | 4.5 Stars | NABERS WATER | 4.5 Stars |
- Ratings for Corporate Centre Two asset
TGA Complex
SYMONSTON, ACT
The Therapeutic Goods Administration (TGA) complex at Symonston consists of 2 separate buildings on a 17 hectare site approximately 8 kilometres from the Canberra CBD. The main building is a world class office and laboratory facility.
Health & Forestry House
BRISBANE, QLD
Health & Forestry House is ideally located in the centre of Brisbane's CBD. The adjacent towers are connected via 'air bridges' on levels 13, 15 and 17 and a raised courtyard on level 3. The asset represents a significant repositioning opportunity in the medium term.
Lovett Tower
WODEN, ACT
2016.
With 22 commercial office floors and ground floor retail, Lovett Tower is Canberra's tallest building and is 99% leased to the Department of Veteran Affairs until June
Bligh House
SYDNEY, NSW
Bligh House is a 17-level commercial office building located on Bligh Street in the Sydney CBD and is 95% leased to the NSW State Government.
ADDRESS 136 Narrabundah Lane, Symonston ACT
| SECTOR | Office | |
|---|---|---|
| LAND AREA | 173,500 sqm | |
| LETTABLE AREA | 18,524 sqm | |
| ACQUISITION DATE June 2002 | ||
| MAJOR TENANT |
Federal Government |
|
| BOOK VALUE | \$68.0 m | |
| EXTERNAL VALUATION |
\$69.0 m (Jun 13) |
|
| OCCUPANCY | 100.0% | |
| CAP RATE | 9.25% | |
| PASSING YIELD | 11.9% | |
| DISCOUNT RATE | 9.75% | |
| WALE | 3.3 years | |
| ENVIRONMENTAL RATINGS | ||
| NABERS ENERGY | Under Tenant Control | |
| NABERS WATER | Under Tenant Control |
ADDRESS 146-160 Mary St & 147-163 Charlotte St, Brisbane QLD
| SECTOR | Office |
|---|---|
| LAND AREA | 3,449 sqm |
| LETTABLE AREA | 26,713 sqm |
| ACQUISITION DATE June 2013 | |
| MAJOR TENANT |
QLD Government |
| BOOK VALUE | \$65.0 m |
| EXTERNAL VALUATION |
\$65.0 m (May 13) |
| OCCUPANCY | 100.0% |
| CAP RATE | 12.08% |
| PASSING YIELD | 20.4% |
| DISCOUNT RATE | 11.50% |
| WALE | 2.7 years |
| ENVIRONMENTAL RATINGS | |
| NABERS ENERGY | 4.0 Stars 1 |
| NABERS WATER | N/A |
ADDRESS 13 Keltie Street, Woden ACT
| Woden ACT | ||
|---|---|---|
| SECTOR | Office | |
| LAND AREA | 1,258 sqm | |
| LETTABLE AREA | 20,540 sqm | |
| ACQUISITION DATE October 2012 | ||
| MAJOR TENANT |
Federal Government |
MAJOR TENANT |
| BOOK VALUE | \$61.0 m | |
| EXTERNAL VALUATION |
\$62.5 m (Jun 13) |
EXTERNAL |
| OCCUPANCY | 100.0% | |
| CAP RATE | 11.00% | |
| PASSING YIELD | 12.0% | |
| DISCOUNT RATE | 10.25% | |
| WALE | 2.5 years | |
| ENVIRONMENTAL RATINGS | ||
| NABERS ENERGY | 4.0 Stars | |
| NABERS WATER | 5.0 Stars |
ADDRESS 4 Bligh Street, Sydney NSW
| SECTOR | Office |
|---|---|
| LAND AREA | 1,220 sqm |
| LETTABLE AREA | 9,963 sqm |
| ACQUISITION DATE June 2013 | |
| MAJOR TENANT |
Government Property NSW |
| BOOK VALUE | \$56.0 m |
| EXTERNAL VALUATION |
\$56.0 m (Dec 13) |
| OCCUPANCY | 100.0% |
| CAP RATE | 8.50% |
| PASSING YIELD | 9.0% |
| DISCOUNT RATE | 9.00% |
| WALE | 4.3 years |
| ENVIRONMENTAL RATINGS | |
| NABERS ENERGY | 4.0 Stars |
| NABERS WATER | 3.5 Stars |
- Ratings for Forestry House
NOTE: Image is an architect's impression.
100 Waymouth Street
ADELAIDE, SA
100 Waymouth Street is a 13 level A grade office building located on the northern side of Waymouth Street at the western entrance to the city. The building has undergone an extensive refurbishment completed in March 2013.
43 Bridge Street
HURSTVILLE, NSW
This property is located in Hurtsville's commercial market, which is a subregional centre within the middle ring of Sydney's Southern/South Western suburbs situated approximately 20 kilometres from Sydney CBD.
19 National Circuit BARTON, ACT
Located in Canberra's parliamentary precinct, the property occupies a prized location for Government tenants, with its proximity to Parliament House, the High Court of Australia, the majority of Commonwealth Embassies and High Commissions as well as the popular Kingston Shopping Precinct.
Station Street PENRITH, NSW
Station Street is a modern, A-grade building located in Penrith's main retail and business precinct opposite the Penrith Railway Station and Westfield's Penrith Plaza. It is 100% leased to the NSW Government.
ADDRESS 100 Waymouth Street, Adelaide SA SECTOR Office LAND AREA 1,435 sqm LETTABLE AREA 12,304 sqm ACQUISITION DATE April 2003 MAJOR TENANT Community CPS BOOK VALUE \$41.5 m EXTERNAL VALUATION \$41.5 m (Dec 13) OCCUPANCY 28.8% CAP RATE 8.75% PASSING YIELD 1.4% DISCOUNT RATE 8.75% WALE 13.6 years NABERS ENERGY N/A
NABERS WATER N/A
| ADDRESS 43 Bridge Street, Hurstville NSW |
||
|---|---|---|
| SECTOR | Office | |
| LAND AREA | 4,126 sqm | |
| LETTABLE AREA | 9,800 sqm | |
| ACQUISITION DATE October 2012 | ||
| MAJOR TENANT |
State Property Authority of NSW |
|
| BOOK VALUE | \$31.6 m | |
| EXTERNAL VALUATION |
\$31.6 m (Dec 13) |
|
| OCCUPANCY | 96.0% | |
| CAP RATE | 9.50% | |
| PASSING YIELD | 10.2% | |
| DISCOUNT RATE | 9.50% | |
| WALE | 2.8 years | |
| ENVIRONMENTAL RATINGS | ||
| NABERS ENERGY | 5.0 Stars | |
| NABERS WATER | 4.0 Stars |
| ADDRESS 19 National Circuit, Barton ACT |
|
|---|---|
| SECTOR | Office |
| LAND AREA | 6,658 sqm |
| LETTABLE AREA | 7,073 sqm |
| ACQUISITION DATE July 2005 | |
| MAJOR TENANT |
Australian National Audit Office |
| BOOK VALUE | \$31.0 m |
| EXTERNAL VALUATION |
\$31.0 m (Jun 13) |
| OCCUPANCY | 100.0% |
| CAP RATE | 8.75% |
| PASSING YIELD | 9.5% |
| DISCOUNT RATE | 10.25% |
| WALE | 4.7 years |
| ENVIRONMENTAL RATINGS | |
| NABERS ENERGY | 4.5 Stars |
| NABERS WATER | 4.0 Stars |
| ADDRESS 2-6 Station Street, Penrith NSW |
|
|---|---|
| SECTOR | Office |
| LAND AREA | 2,501 sqm |
| LETTABLE AREA | 8,437 sqm |
| ACQUISITION DATE June 2013 | |
| MAJOR TENANT |
Government Property NSW |
| BOOK VALUE | \$29.6 m |
| EXTERNAL VALUATION |
\$28.7 m (May 13) |
| OCCUPANCY | 100.0% |
| CAP RATE | 8.00% |
| PASSING YIELD | 7.8% |
| DISCOUNT RATE | 9.25% |
| WALE | 14.5 years |
| ENVIRONMENTAL RATINGS | |
| NABERS ENERGY | 4.5 Stars |
| NABERS WATER | 4.0 Stars |
Oracle Building LYNEHAM, ACT
The Oracle Building is a modern A grade commercial office complex enjoying double street frontage just 2 kilometres north of the Canberra CBD. The U-shaped building provides 4 levels of office accommodation, a central courtyard and 2 levels of covered car parking.
Crown Street
WOLLONGONG, NSW
Crown Street is a B-grade office building located within the Wollongong CBD between Crown Street and Market Street and 91% leased by the NSW Government.
Terrace Office Park
BOWEN HILLS, QLD
Situated on the border of Bowen Hills and Fortitude Valley, 2 kilometres from Brisbane's CBD, the property has a high profile position on one of the major arterial roads leading into the city. The site has been immaculately landscaped and includes a tennis court and outdoor function area.
Farrer Place
QUEANBEYAN, NSW
Farrer Place is a modern, A-grade office building that is 100% leased to the NSW Government. It is located approximately 500 metres west of the main Queanbeyan CBD.
ADDRESS 243 Northbourne Ave Lyneham ACT SECTOR Office LAND AREA 7,765 sqm LETTABLE AREA 8,455 sqm ACQUISITION DATE November 2001 MAJOR TENANTS Verizon, Oracle BOOK VALUE \$29.4 m EXTERNAL VALUATION \$29.1 m (Jun 13) OCCUPANCY 96.8% CAP RATE 9.75% PASSING YIELD 10.0% DISCOUNT RATE 10.75% WALE 4.6 years NABERS ENERGY 4.5 Stars NABERS WATER 4.5 Stars
| ADDRESS 94 Crown Street, Wollongong NSW |
ADDRESS | |
|---|---|---|
| SECTOR | Office | |
| LAND AREA | 8,542 sqm | |
| LETTABLE AREA | 9,070 sqm | |
| ACQUISITION DATE June 2013 | ||
| MAJOR TENANT |
Government Property NSW |
MAJOR TENANTS |
| BOOK VAUE | \$24.7 m | |
| EXTERNAL VALUATION |
\$23.9 m (May 13) |
EXTERNAL VALUATION |
| OCCUPANCY | 100.0% | |
| CAP RATE | 10.00% | |
| PASSING YIELD | 10.4% | |
| DISCOUNT RATE | 10.50% | |
| WALE | 14.4 years | |
| ENVIRONMENTAL RATINGS | ||
| NABERS ENERGY | 4.5 Stars | |
| NABERS WATER | 4.5 Stars |
| Queanbeyan NSW | |
|---|---|
| SECTOR | Office |
| LAND AREA | 4,052 sqm |
| LETTABLE AREA | 6,300 sqm |
| ACQUISITION DATE June 2013 | |
| MAJOR TENANT |
Government Property NSW |
| BOOK VALUE | \$23.0 m |
| EXTERNAL VALUATION |
\$22.6 m (May 13) |
| OCCUPANCY | 100.0% |
| CAP RATE | 8.50% |
| PASSING YIELD | 8.4% |
| DISCOUNT RATE | 9.50% |
| WALE | 14.5 years |
| ENVIRONMENTAL RATINGS | |
| NABERS ENERGY | 4.5 Stars |
| NABERS WATER | 4.0 Stars |
Vodafone Call Centre
KINGSTON, TAS
The Vodafone Call Centre is a purpose built facility approximately 15 kilometres south of the Hobart CBD. The property is situated in the Huntingfield Estate, a light industrial subdivision developed in the early 1990s.
Bull Street
NEWCASTLE, NSW
Bull Street is a B-grade, fourlevel office building and is 100% leased by the NSW State Government.
Regent Cinema Centre
ALBURY, NSW
Originally developed in 1927, the historic Village Albury serves as a valuable social hub for the community. A major redevelopment in 2004 has seen the complex expanded to house 9 screens with seating for 1,708 patrons. The building also houses a number of retail tenants.
Village Cinemas GEELONG, VIC
The cinema complex is well located within Geelong's established retail and restaurant precinct. The cinemas are purpose built with 11 standard screens and 2 Gold Class cinemas.
ADDRESS 50 Huntingfield Avenue, Kingston TAS SECTOR Office LAND AREA 30,500 sqm LETTABLE AREA 6,222 sqm ACQUISITION DATE June 2004 MAJOR TENANT Vodafone BOOK VALUE \$14.3 m EXTERNAL VALUATION \$14.3 m (Dec 13) OCCUPANCY 100.0% CAP RATE 9.50% PASSING YIELD 14.0% DISCOUNT RATE 9.50% WALE 2.8 years NABERS ENERGY Under Tenant Control NABERS WATER Under Tenant Control
| ADDRESS 117 Bull Street Newcastle NSW |
|
|---|---|
| SECTOR | Office |
| LAND AREA | 6,765 sqm |
| LETTABLE AREA | 6,236 sqm |
| ACQUISITION DATE June 2013 | |
| MAJOR TENANT |
Government Property NSW |
| BOOK VALUE | \$14.3 m |
| EXTERNAL VALUATION |
\$13.8 m (May 13) |
| OCCUPANCY | 100.0% |
| CAP RATE | 10.00% |
| PASSING YIELD | 10.3% |
| DISCOUNT RATE | 11.00% |
| WALE | 14.5 years |
| ENVIRONMENTAL RATINGS | |
| NABERS ENERGY | 4.5 Stars |
| NABERS WATER | 4.5 Stars |
| ADDRESS 450-460 Dean Street, Albury NSW |
||
|---|---|---|
| SECTOR | Retail | |
| LAND AREA | 3,732 sqm | |
| LETTABLE AREA | 5,848 sqm | |
| ACQUISITION DATE June 2004 | ||
| MAJOR TENANT |
Village Cinemas | |
| BOOK VALUE | \$14.3 m | |
| EXTERNAL VALUATION |
\$14.3 m (Dec 13) |
|
| OCCUPANCY | 100.0% | |
| CAP RATE | 9.00% | |
| PASSING YIELD | 9.1% | |
| DISCOUNT RATE | 9.00% | |
| WALE | 5.0 years | |
| ENVIRONMENTAL RATINGS | ||
| NABERS ENERGY | Under Tenant Control | |
| NABERS WATER | Under Tenant Control |
| ADDRESS 194-204 Ryrie Street, Geelong VIC |
|||
|---|---|---|---|
| SECTOR | Retail | ||
| LAND AREA | 2,916 sqm | ||
| LETTABLE AREA | 4,701 sqm | ||
| ACQUISITION DATE June 2004 | |||
| MAJOR TENANT |
Village Cinemas | ||
| BOOK VALUE | \$14.0 m | ||
| EXTERNAL VALUATION |
\$14.0 m (Dec 13) |
||
| OCCUPANCY | 100.0% | ||
| CAP RATE | 8.50% | ||
| PASSING YIELD | 8.3% | ||
| DISCOUNT RATE | 9.00% | ||
| WALE | 11.2 years | ||
| ENVIRONMENTAL RATINGS | |||
| NABERS ENERGY | Under Tenant Control | ||
| NABERS WATER | Under Tenant Control |
Cromwell's funds management business owns and manages over \$540 million1 worth of direct commercial property assets.
For more information, contact us: www.cromwell.com.au/funds [email protected] 1300 276 693
Energex House
NEWSTEAD, QLD
Owned by the Cromwell Riverpark Trust, Energex House is a Six Star Green Star certified building located at Newstead, 2 kilometres north of Brisbane's CBD. The seven storey commercial office building houses Energex Limited - one of Australia's largest and fastest growing electricity suppliers.
City Heart Building IPSWICH, QLD
Owned by the Cromwell Ipswich City Heart Trust, this 9 storey commercial office building is fully leased to the QLD State Government and features 15,600 sqm of office space, 2,134 sqm of retail space and 206 basement car parks.
1.) NABERS assessments are not undertaken for some assets where the tenant has full operational control and manages the total resource consumption.
Cromwell Funds Management Limited ABN 63 114 782 777 AFSL 333214 is the responsible entity of the managed funds referred to in this booklet. This information is not financial product advice and does not take into account any investor's individual objectives, financial situation or needs.
ATO Box Hill*
BOX HILL, VIC
Owned by the Cromwell Box Hill Trust, this 20 storey building is currently under construction and will be fully leased to the Australian Tax Office, it features 13 levels of office space, 6 levels of car parking and 1 level of retail.
Dorcas Street
SOUTH MELBOURNE, QLD
Owned by the Cromwell Property Trust 12, this property is a 7 storey commercial office building located in the thriving suburb of South Melbourne. The asset is fully leased to Dimension Data.
Rand Distribution Centre
DIREK, SA
Owned by the Cromwell Property Trust 12, this asset is a brand new purpose built cold store facility located in South Australia. The property is fully leased to Rand Transport, a wholly owned subsidiary of the ASX listed Automotive Holdings Group.
ATO Dandenong*
DANDENONG, VIC
Owned by the Cromwell Property Trust 12, the ATO Dandenong building is a 7 storey commercial office building that is currently under construction. The asset is fully leased to the Australian Tax Office.
| CROMWELL BOX HILL TRUST ASSET ADDRESS 913 Whitehorse Road, Box Hill VIC |
CROMWELL PROPERTY TRUST 12 ASSET ADDRESS 10-13 Dorcas Street, South Melbourne VIC |
CROMWELL PROPERTY TRUST 12 ASSET ADDRESS 902 Caribou Drive, Direk SA |
CROMWELL PROPERTY TRUST 12 ASSET ADDRESS 11-13 Robinson Street, Dandenong VIC |
||||
|---|---|---|---|---|---|---|---|
| SECTOR | Office | SECTOR | Office | SECTOR | Office | SECTOR | Office |
| LAND AREA | 1,775 sqm | LAND AREA | 1,484 sqm | LAND AREA | 58,628 sqm | LAND AREA | 3,145 sqm |
| LETTABLE AREA | 19,680 sqm | LETTABLE AREA | 7,567 sqm | LETTABLE AREA | 10,314 sqm | LETTABLE AREA | 13,803 sqm |
| INCEPTION DATE | December 2012 | INCEPTION DATE | October 2013 | INCEPTION DATE | October 2013 | INCEPTION DATE | October 2013 |
| MAJOR TENANT |
Australian Tax Office |
MAJOR TENANT |
Dimension Data | MAJOR TENANT |
Rand Transport | MAJOR TENANT |
Australian Tax Office |
| ASSET VALUE | \$116.7 m | ASSET VALUE | \$25.5 m | ASSET VALUE | \$32.8 m | ASSET VALUE | \$70.4 m |
| OCCUPANCY | 100.0% | OCCUPANCY | 100.0% | OCCUPANCY | 100.0% | OCCUPANCY | 100.0% |
| WALE | 14.1 years | WALE | 5.6 years | WALE | 20.0 years | WALE | 14.0 years |
| ENVIRONMENTAL RATINGS | ENVIRONMENTAL RATINGS | ENVIRONMENTAL RATINGS | ENVIRONMENTAL RATINGS | ||||
| NABERS ENERGY | N/A | NABERS ENERGY | 4.0 Stars | NABERS ENERGY | Under Tenant Control | NABERS ENERGY | N/A |
| NABERS WATER | N/A | NABERS WATER | 4.0 Stars | NABERS WATER | Under Tenant Control | NABERS WATER | N/A |
* These buildings are currently under construction. Images are artist's impressions only. Information provided assumes practical completion occurs, and lease commences as expected. Assumptions and risks are set out in the relevant PDS. For more information see www.cromwell.com.au/funds or call 1300 276 693.
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BRISBANE
Level 19, 200 Mary Street Brisbane QLD 4000 Phone: +61 7 3225 7777 Email: [email protected]
SYDNEY
Level 14, 167 Macquarie Street Sydney NSW 2000
MELBOURNE
Level 5, 700 Collins Street Melbourne VIC 3008
Disclaimer
Cromwell Property Securities Limited ACN 079 147 809 AFSL 238052 (CPS) has prepared this booklet. CPS is the responsible entity of the Cromwell Diversified Property Trust ARSN 102 982 598 (DPT). Units in the DPT are stapled to shares in Cromwell Corporation Limited ACN 001 056 980 and the stapled securities are listed on the Australian Securities Exchange (ASX:CMW).
All information is prepared as at 31 December 2013 unless stated otherwise.
This booklet is not intended to provide financial product advice. It has been prepared without taking into account any investor's objectives, financial situation or needs. In deciding whether or not to acquire or continue to hold an investment an investor should consider any relevant offer document and assess, with or without your financial or taxation adviser, whether the product fits their objectives, financial situation or needs.
An investment in Cromwell Property Group is subject to investment risk and no member of the Group makes any promise or representation or gives any guarantee as to the success of the Group, its distributions or the taxation consequences of investing.
Cromwell Property Group does not warrant that the information in this document is up to date or accurate The Group does not accept any liability for any errors in or omissions from this document nor for any loss that may be suffered by any person relying on information in this document.
www.cromwell.com.au/properties
