The first building to be syndicated and offered to investors through the Denison LMWI Property Trust No 1 is an eight level office tower in North Sydney.
The building is 96 per cent leased to several tenants with staggered lease expiries.
“We are confident that this building represents an excellent first step for Denison LMWI in reaching our goal of becoming the leading syndicator of commercial property in Australia,” Denison Group chief executive Matthew Burrows said.
According to LMW Invest marketing and distribution director Linden Toll, there is currently demand from investors for simple, understandable structures that deliver consistent rental returns.
“For a long time, retail investors have not had access to investments such as this – other than through wider investment trusts that carry a broad array of risks,” Toll said.
The Denison LMWI Property Trust #1 is forecast to return 9 per cent per annum to June 2011, paid quarterly, and has a five- to seven-year investment return.
