Sentinel returns shine
October 15, 2015
Against this global backdrop, Sentinel continues to power ahead by actively growing our exposure in our chosen markets and delivering outstanding returns for our investors.
In the latest PCA/IPD index of the best performing unlisted retail property funds in Australia, we continue to dominate the Top 10 positions. We claimed the top three positions, and seven out of the top 10, for 12 month returns along with the top performer on a three year basis. Our number one property for 12 month return at 175% was the Rutherford Super Centre in NSW. This property has had two valuations in the last 12 months, and we actually used the lowest as the other showed a return of 207% for the one year!
Sentinel’s track record of consistently delivering market-leading returns to our investors has been built on a determination to always be ahead of the pack by acquiring properties when they are not seen as fashionable by others. Our ever-expanding presence in the retail sector is the perfect showcase of this strategy.
We have just settled our fifth retail property acquisition so far this financial year, the Westside Plaza shopping centre in Broken Hill, NSW. This follows on from our purchase of eight retail assets in the 2014-2015 financial year and our total retail portfolio now comprises more than 20 properties, predominantly neighbourhood style shopping centres and large format homemaker centres.
We were first buying these homemaker centres, and more recently neighbourhood shopping centres, when they were out of fashion and the listed funds were selling. We are now seeing the big players moving back into this field and the leading global real estate agencies all nominating retail as the best performing commercial property asset class on the back of tightening yields. This reinforces the success of what Sentinel has been doing for a number of years in staying ahead of the trends that the others are now following. It also shows we don’t just buy properties because they are out of fashion, but also for their underlying fundamentals and where we see them and the markets in which they operate heading.