Third Party Funds Management
Gateway, 1 Macquarie Place, Sydney, NSW
At 30 June 2009, DEXUS Property Group’s third party property funds under management totalled $5.6 billion, down 12.5%. This business comprises the DEXUS Wholesale Property Fund, two direct property mandates and two property syndicates.
DEXUS Wholesale Property Fund
DEXUS Wholesale Property Fund (DWPF) is an open ended unlisted property fund with total gross assets of $2.9 billion at 30 June 2009 (2008: $3.2 billion). DWPF has a high quality portfolio with approximately 82% of the portfolio comprising premium office buildings and regional retail centres.
There are 63 institutional wholesale investors in DWPF with the top 10 unitholders representing approximately 57% of the register.
DWPF’s development pipeline is currently estimated at approximately $635 million over the next five years, which will improve the portfolio quality and diversity and enable enhanced returns through the creation of higher quality properties without acquisition costs.
Direct mandates
Our two direct mandates comprise approximately $2.6 billion or 38 direct properties as at 30 June 2009, (2008: $3.0 billion). These mandates are managed by DEXUS on behalf of SAS Trustee Corporation and AXA Group.
DEXUS property syndicates
The Group manages two unlisted property syndicates valued at $160 million as at 30 June 2009 (2008: $180 million). The syndicates are closed ended fixed term funds and have over 800 unitholders.
Gordon Property Syndicate
This syndicate which matures in 2010, owns one retail complex, comprising the Gordon Centre and the Gordon Village Arcade, located in Gordon NSW. At 30 June 2009, total assets of the syndicate were approximately $80.4 million (2008: $87.6 million).
Northgate Property Syndicate
This syndicate owns the Northgate Shopping Centre at Glenorchy in Hobart, TAS. The syndicate matured in August 2009 and the property has been sold for $70.1 million, representing a total return to investors of approximately 18% per annum over its 12 year life.