The mystery surrounding the future of the old Lincraft building in Ballina’s Tamar Village has been solved.

Clarence Property has kicked-off stage one of a $1.5 million project to upgrade the centre, owned by Westlawn Property Trust, and have plans to transform some of the vacant spaces into more ‘corporate feel’ commercial tenancies to accompany the new and existing retail businesses.

The “modernised” refurbishments will include external upgrades to centre’s front, new more accessible toilets, awning lighting to shop fronts, new pavements, signage, painting, landscaping and an undercover outdoor alfresco area.

The renovations have already resulted in increased leasing activity, with a number of existing tenants renewing their leases, terms agreed with another new tenant and Optimum Allied Health signing a long-term lease to relocate to the property.

The regional healthcare provider is expected to open the doors to its new 230sqm tenancy in the coming weeks.

Head of Clarence Property Simon Kennedy said works were on track and were going “better than expected”.

“There was a lot of concern when Lincraft left over what would happen, so this is a great outcome for our tenants and their customers at the centre,” Mr Kennedy said.

“To take something that’s been around for so long and give it a fresh modern look feels great. Martin’s Hot Bread is a success story on it’s own and the chemist is very popular, but the rest of the centre is a bit tired so we’re excited to make it sensational.”

He said, at this stage the old Lincraft building could be turned into smaller tenancies such as a gym or an office, but the number of shops within the building would depend on how many tenants take up that space.

The works are expected to be completed by early to mid-next year.

The upgrades to Tamar Village form part of a larger $5 million program of refurbishment works that Clarence Property is undertaking across a number of properties in the Westlawn Property Trust portfolio, including Zone Underwood, Westlawn Building in Lismore, Tamar Village and Yamba Fair.

Interested tenants contact the property manager emily.rippon@clarenceproperty.com.au

The Board is pleased to announce it has agreed terms for the Trust to acquire the balance of the Yamba Quays residential development site, located at Witonga Drive, Yamba NSW.

The site is DA approved for 136 home sites, and will be acquired and developed in two stages. Stage 1, comprising 42 lots, will settle in early January 2019. The Stage 1 acquisition price, stamp duty and development costs totalling approximately $15 million will be funded from existing cash reserves. The purchase of Stage 2 will settle in approximately 18 months.

This is a strategic acquisition for the Trust, being virtually the last canal development remaining on the NSW coast and is in the growing coastal township of Yamba, located at the mouth of one of Australia’s largest rivers, the Clarence. Importantly, the development will complement the Trust’s “Epiq Lennox” development.

Of the 136 lots in the Yamba Quays development, 107 have water frontage with easy and direct access to the Clarence River and Pacific Ocean.

Marketing of the 42 Stage 1 lots has commenced. If you are interested in receiving information about this exciting land release, including a sales plan, please register your interest at www.yambaquays.com.au.

Former Colliers International Gold Coast boss Darrell Irwin says young people are ‘missing out’ on the opportunity to leverage growth in South East Queensland’s commercial, industrial and retail markets, with unlisted property trusts remaining a relatively untapped asset class.

Mr Irwin, who has recently become a director for property fund manager Clarence Property, says many young professionals have their wealth creation strategies set to ‘default’ investments in property and listed shares, and are bypassing high yielding unlisted property trusts due to a lack of awareness of the opportunities on offer.

Clarence Property is the fund manager for the unlisted Westlawn Property Trust (WPT), which has a $220 million property portfolio spanning from Yamba to the Sunshine Coast, and has delivered an 22% return to investors last year, with an average return of 14.5% per annum over the past three years.

“Unlisted property trusts are not affected by share market volatility and allow individuals to own a stake in a portfolio of high quality commercial, retail and industrial property, which a fund manager handles on behalf of its investors,” Mr Irwin said.

“A lot of young people opt to buy an investment property or shares in a listed company to kick start their portfolio because that is seen as the ‘norm’, but unlisted property trusts often have a relatively low cost of entry – much cheaper than buying a house – and can offer higher yields.

“A recent report from Zenith Investment Partners, MCSI and the Property Funds Association showed that unlisted property funds were one of the best performing assets in Australia in recent years, offering returns that were on average three times higher than Australian Equities.”

Mr Irwin said unlisted property trusts allowed individuals to diversify their portfolio without assuming the risk of holding, managing and leasing a commercial, industrial or retail asset.

“The attraction of unlisted property trusts is the investment in blue chip bricks and mortar – not many individuals can afford or have the expertise to go out and buy a shopping centre or an inner city office building, but they can own a share in one or more through a trust,” he said.

“Even those individuals who do have the potential to acquire a commercial property often turn to unlisted trusts as a ‘set and forget’ alternative – they don’t have to worry about purchasing at the right price, ongoing management and leasing issues, as well as the potential vacancy risks”.

“What we are seeing with WPT – and a number of other unlisted property trusts I am aware of – is that the investor base is quite mature, so it seems that younger people perhaps aren’t as aware of this type of investment”.

“I encourage them to do their homework and compare the returns on investment with different types of assets. For example, a gross return of five or six per cent in the housing market is exceptional and increasingly difficult to achieve, whereas WPT has a forecast 8.8 per cent gross distribution (year ending June 30).

“WPT has never failed to paya monthly distribution to investors in its 24 years, and many of its assets are located in Brisbane, Gold Coast and Northern NSW so locals can feel confident investing in their own neighbourhood.”

WPT will be launching its next investment opportunity to the market soon at a competitive forecast of 8.8 per cent gross distribution (year ending June 30).

The property portfolio currently includes properties from Yamba to Brisbane across retail, industrial, development and commercial sectors.

In another energy efficiency initiative for the $290 million Westlawn Property Trust, Clarence Property will install 100kw solar systems at three of their sites across the portfolio.

The solar solutions are being installed at shopping centres in Yamba and Brisbane and an office building on the Gold Coast, with Clarence Property recognising the benefits for the environment, tenants and the enduring value to the properties.

The decision follows major LED lighting upgrades at five properties in the Westlawn Property Trust over the past twelve months and the install of a 30kw solar system at the recently sold Easy T centre in Robina.

Rising electricity costs and improved technology prompted Clarence Property to investigate alternative sources of energy.

Clarence Property Managing Director, Peter Fahey said “Solar makes sense for environmental and business reasons”.

“Shopping centres often have large roof spaces and high energy needs. The requirements for air-conditioning and lighting generate high energy costs”.

“The power generated from the three solar system installations is equivalent to taking one hundred cars off the road and it will reduce the running costs of each property, benefiting both tenants and investors”. Mr Fahey said.

“Sustainability encompasses all aspects of what we do at Clarence Property, with particular emphasis on people, sustainable capital, environment and the community”.

This is further evidenced by the recent certification of Epiq, Lennox Head residential community as a leading Enviro Development. Epiq, Lennox Head is Westlawn Property Trusts flagship development property.

Property fund manager Clarence Property has closed oversubscribed its latest investment offer in its flagship Westlawn Property Trust (WPT), after receiving over subscriptions of $22 million in new capital from investors in South East QLD (SEQ) and Northern New South Wales (NNSW).

The fund continues to be supported from its historic roots of the Clarence Valley however there has been a distinct level of interest from SEQ investors who associate the core assets in the Westlawn Property Trust with their geographical location.

Over 60 % of the capital raised came from new investors with approximately 55% of those funds from Self-Managed Superannuation Funds (SMSFs).

The new and existing investors appreciate Clarence Properties expertise and strategy of purchasing assets in high growth areas typically Noosa to Yamba where the market mechanics are well understood.

The Trust has more than $290 million in assets from Yamba to the Sunshine Coast, including Northern NSW properties Yamba Fair and Byron Bay Fair and the 480 lot Epiq master planned community at Lennox Head.

The fund provides investors the opportunity to tap into successful developments and assets like Epiq Lennox, which sold out the first three stages, each within a week.

Clarence Property managing director Peter Fahey says WPT continues to have a strong presence in Northern NSW and SEQ.

“The fund has a history of solid performance and has not failed to pay a monthly distribution to investors in its 24 years, so we have a reputation for reliability. A number of our investors have been with us since inception.”

“Many investors opted to re- invest in the latest offering because the Trust has a strong base for growth, with a number of key development projects commencing this year and several new acquisitions of blue chip commercal retail and commercial property recently made in Brisbane.”

These acquisitions come hand in hand with the recent appointment of Gold Coast’s Darrel Irwin as a Director of Clarence Property, who will assist in growing the WPT investor base in the Gold Coast and Brisbane markets.

Mr Irwin was previously Colliers Gold Coast director-in-charge and special projects national director for 13 years.

WPT is expected to launch to the market its next offering for investment later this year.

Property fund manager Clarence Property is continuing its push into the South East Queensland market, this week acquiring The Zone Shopping Centre at Underwood for $31.25 million.

The Zone is Clarence Property’s latest Queensland retail purchase for its flagship unlisted Westlawn Property Trust (WPT), which is currently open for investment with a forecast 8.6 per cent distribution including franking credits (for the year ending June 30, 2018).

The shopping centre is tenanted by national retailers including OfficeWorks, Rebel Sport, Good Price Pharmacy and Best Friends Pet Warehouse.

Clarence Property managing director Peter Fahey says The Zone is the fourth South East Queensland-based acquisition for WPT inside six months, with other commercial and retail assets purchased in Hamilton, Spring Hill and Northgate for a total of $34.74 million since October 2017.

Mr Fahey says Underwood is a good fit for WPT, which has more than $250 million in assets between Yamba and the Sunshine Coast.

“Our target asset allocation for WPT is about 30 to 45 per cent retail, with a focus on high yield neighbourhood shopping centres in growth regions,” he said.

“We started in Grafton more than 24 years ago, and while we still have a strong presence in northern New South Wales, we are making a push into South East Queensland, with about 55 per cent of the Trust’s portfolio now located across the region.”

“Underwood was particularly attractive as it is positioned at the corner of a high traffic intersection, next to Queensland’s largest new Bunnings store, which is due for completion in September.”