Investec Australia Property Fund (IAPF) has bought two office properties to expand its exposure to New South Wales, Australia’s largest and strongest-performing economy. The fund, the only property company on the JSE that invests solely in Australia, has been a good performer since listing in 2013, providing a total return of 67.59% to shareholders. IAPF acquired 2 Richardson Road, North Ryde and 20 and 24 Rodborough Road, Frenchs —Forest in a deal worth A$160m ($119.54m). The assets held long-term benefits for IAPF, according to CEO Graeme Katz. "These properties secure medium-term income for the fund with a weighted average lease expiry of at least 4.1 years. Furthermore, the buildings have extremely low vacancy rates, are occupied by quality tenants, and are ideally located to benefit from rezoning initiatives and surrounding infrastructure developments," said Katz. IAPF would spend A$85m, excluding transaction costs for the North Ryde property, which equated to an initial yield ...
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