Blue Chip Investment Opportunity | Wholesale Investors

Services Australia Customer Centre

FULLY SUBSCRIBED

Adelaide | South Australia

Forecast Distributions:

Year 1 - 8.00% p.a.
Year 2 - 8.75% p.a.

Arcana Capital has launched a property trust for wholesale investors to acquire a high-quality, modern customer services centre fully leased to the Australian Commonwealth.

Arcana has entered into a contract for the $8.5 million purchase of 96 Reservoir Road, Modbury - a strategically located customer service centre with proximity to the Modbury Hospital and Westfield Tea Tree Gully, and abundant on-site car parking with 90 spaces (reflecting 1 per 22m2 of net lettable area).

The property was purpose built for Services Australia (formerly known as the Department of Human Services) in 2010. Services Australia have occupied the premises since construction to provide Centrelink, NDIS, and Medicare services to the community.

Arcana Capital are purchasing the asset at a net yield of 8.27%, and an attractive low capital cost of $4,250 per m2 of net lettable area.

Headed by former Premier of Queensland and Lord Mayor of Brisbane, Campbell Newman, Arcana Capital has been operating since 2015, and has successfully completed the acquisition and ongoing management of 33 properties worth $242.41 million and raising over $143 million in investor equity. 

In 2023, Arcana Capital added to their Australia-wide portfolio of industrial, fuel, medical, and non-discretionary retail assets with the acquisition of:

  • Three multi-tenanted suburban offices in Brisbane QLD, Perth WA, and Canberra ACT, for $13.55 million, $12 million, and $17.40 million respectively; and

  • A fully-leased large format retail centre in Mackay QLD for $12.30 million.

  • Services Australia Customer Centre.

  • 96 Reservoir Road, Modbury, South Australia.

    • 2,000m2 net lettable area;

    • 90 car parks (1 : 22m2); and

    • located in major retail and health precinct.

  • Applications for units close 13 May 2023.

    To be acquired early-mid June 2023.

  • $8,500,000 (excl. GST).

    8.27% Net Passing Yield on Fully Leased Income.

  • $3,612,500 (based on 42.50% LVR).

    Forecast Average Interest Rate - 6.15% p.a. in Year 1.

  • Approximately 5,765,000 units at $1.00 per unit.

    Minimum investment of $100,000.

    Maximum investment of $850,000.

  • Forecast rate of distribution (paid monthly):

    • 8.00% p.a. in Year 1;

    • 8.75% p.a. in Year 2.

    Note - these forecasts are not guaranteed and may not be achieved.

 

Disclaimer:

This information has been prepared by Arcana Capital Pty Ltd ACN 609 576 623, AFSR 1245173 as an Authorised Representative of Arcana Capital Funds Management Pty Ltd ACN 633 164 155 AFSL 518744.

The information is only for investors who qualify as wholesale clients under sections 761G of the Corporations Act 2001 (Cth) or to any other person who is not required to be given a regulated disclosure document under the Corporations Act. The Information is not investment advice. It is general information only and does not take into account the investment objectives, financial situation or particular needs of any prospective investor.

Investment returns presented on this website are either forward projections for new opportunities or the actual current distributions of our existing Trusts. The performance of our existing Trusts are updated every quarter.

Whilst the preservation of investor capital is Arcana’s key priority, every investment carries a level of risk. Investors should only invest with Arcana after considering the risks and returns outlined in the relevant Information Memorandum and obtaining independent financial advice.