Heathley Keystone Property Fund No. 34 – Fund returns IRR of 27% on windup
The Manager has successfully completed the sales campaign in accordance with the Fund’s strategy, exchanging unconditional contracts for all three of the properties. The results will drive an investor return in excess of original forecast, providing a 27% investor IRR.
The Fund’s three properties have now been sold, achieving the following results:
- 11 Abdon Cl, Bennetts Green settled on 12 January 2017 for $3.453 million, reflecting a premium to book value of 34%.
- 401 Burton Road, Burton will be sold for $1.91 million, representing a 10% premium to book value; and
- 5 Ganley Street, Gladstone will be sold for $6.20 million, representing a 14% premium to book value.
We are very pleased with the sales results given the relatively short investment period of two years, which will result in a total return of capital of approximately $1.25 per unit and an equity IRR of approximately 27% (pre-tax, net of costs) for our investors.