Indigenous Real Estate Investment Trust (I-REIT)
The I-REIT is an Australian, unlisted unit trust investing primarily in a portfolio of Australian commercial properties in four key sub-sectors; office, industrial, neighbourhood shopping centres and highway service stations. As at 31 July 2023 the portfolio comprises 11 assets providing a wide variety of accommodation for a range of different tenants, with further acquisitions planned.
By investing in the I-REIT, Indigenous investors derive an income stream and capital growth generated by the I-REIT's geographically diversified portfolio of commercial properties. Commercial property is a significant asset class that usually forms part of a diversified investment portfolio. A key benefit of the I-REIT for Indigenous organisations is access to returns from a range of properties that would otherwise require a very large capital outlay and incur significant acquisition costs.
In addition to financial returns, the Fund has sought to generate employment and supply chain outcomes for Aboriginal and Torres Strait Islander people through its property and facilities management arrangements.
Investments into the I-REIT and redemptions from the I-REIT can only be considered during approved trading windows. For more information about the I-REIT including the timing of trading windows please contact Investor Relations.
The Investment Manager
The Investment Manager of the I-REIT is IBA Asset Management Pty Ltd (IBAAM), a wholly-owned subsidiary of IBA. The Investment Manager has a majority of independent board members who bring significant experience in investment, governance and Indigenous affairs.
The Investment Manager undertakes the day-to-day management of the I-REIT, monitors the portfolio and identifies and conducts due diligence in relation to new investments or divestments.
The Investment Manager, in consultation with the Investment Committee (see below), intends to maintain a diversified portfolio whilst avoiding a concentration of characteristics that it believes may expose the I-REIT to excessive risk.
In addition to the I-REIT, the Investment Manager manages the Indigenous Prosperity Funds (IPF). The IPF provide eligible Aboriginal and Torres Strait Islander investors(1) with the opportunity to invest in a diversified portfolio of investments including exposure to Australian and international shares, bonds, property and cash. Further information regarding the IPF may be obtained here.
Investment Committee
The Investment Committee, comprises of a majority of independent professionals who approve key matters including:
- acquisitions and divestments;
- new leases or lease renewals that constitute 30% or more of the gross revenue of the relevant Property;
- debt finance facilities;
- material redevelopment or refurbishment of a property; and
- certain related party transactions.
Investment Strategy
The objective of the I-REIT is to generate attractive risk-adjusted returns to Unitholders over the medium to long term through exposure to a portfolio of commercial properties located in Australia.
Specifically, the Investment Manager will focus on commercial property investments that broadly have the following characteristics:
- a yield commensurate with the risk of the investment;
- the potential for capital growth over the medium to long term;
- a value of between $10 million and $20 million per investment; and
- are located in population catchments in excess of 15,000 people.
Properties
The information under each property description on this website is correct as at 31 July 2023.
106-112 High Street, Shepparton VIC
This recently completed property features a three-storey office building of 2274 sq m and 49 car bays on a site of 1,843 sq m. Accommodation includes a ground floor entry with an adjoining office area and two upper levels of office accommodation.
The entire property is leased to the Victorian Government on a 10 year lease.
2274 m2
Big Rivers Government Centre, 5 First Street, Katherine NT
This property comprises an 8,110 sqm regular-shaped allotment with a two-level office building providing very large floor plates and a lettable area of 4,580 sqm. Car parking is provided for 104 vehicles (including 18 undercover). The building dates from the mid 1980’s and underwent an air conditioning upgrade in 2012 and a full interior refit in 2021-23.
Fully leased to Northern Territory of Australia under a new 15 year lease from August 2023.
4,580 m2
Twin Highway Service Centres, Forrest Highway, West Pinjarra WA
The two service centres opened in September 2017 and are located on the southbound and northbound sides of the Forrest Highway at West Pinjarra, approximately 88 kilometres south of the Perth Central Business District. The two properties (each is on separate title) are almost identical with more than 100 vehicle parking spaces and leased to ASX-listed Ampol (20-year leases) and each includes a 150-seat food court with three retail tenants including KFC and Zambreros.
2,964 m2 (South Pinjarra)
2,964 m2 (North Pinjarra)
11.43 years (North Pinjarra)
Amart Furniture, 40 Edward Street, Wagga Wagga, NSW
This property features a 2018 built freestanding bulky goods retail store with ancillary warehouse, having a gross floor area of 5,504 sqm on a site of 11,250 sqm. The property is fully leased to Amart Furniture Pty Ltd.
5,504 m2
Clifton Village Shopping Centre, Corner Endeavour Road & Captain Cook Highway, Clifton Beach, Cairns QLD
This neighbourhood shopping centre is located in the Cairns northern beaches. The centre comprises a predominantly enclosed mall with some external tenancies, located within Clifton Beach, approximately 22 kms north-west of Cairns adjacent to Palm Cove.
The main centre complex is anchored by Coles Supermarket and supported by one mini-major, 20 specialty shops, kiosks and ATMs. There are also two freestanding buildings which include a BP fuel-anchored convenience centre with four tenants and a freestanding gym. Parking for approximately 359 cars is provided on-site with 304 bays being undercover within the basement level.
7,905 m2
Warabrook Shopping Centre, 3 Angophora Drive, Warabrook NSW
The property comprises a single-level neighbourhood centre constructed circa 1991 with a lettable area of 4,333 sqm with 213 car bays. The centre is anchored by a Woolworths supermarket supported by eight specialty shop tenancies including a pharmacy, a beauty salon, a medical centre and one ATM. The site also has a recently upgraded freestanding petrol station and convenience store.
Walkerston Shopping Centre, 8 Creek Street, Walkerston QLD
The property comprises a single level neighbourhood shopping centre which commenced trading in 2006 with a lettable area of 3,269 sqm. The centre is anchored by a Woolworths supermarket with five retail speciality stores comprising a coffee shop, butchery, pizza shop, takeaway outlet, liquor store, one ATM and a video kiosk. Parking for 179 cars is provided on site for the centre.
3,269 m2
520 Flinders Street, Townsville QLD
Situated in the Flinders Street West precinct of the Townsville CBD, this property was constructed in 2008. The Property has four levels, comprising retail and office space on the ground floor, two upper levels of office space and basement car parking for 35 vehicles.
28 Edgerton Road, Mitcham VIC
The property comprises a single level showroom/office and an office car park which was constructed circa 2012-2013. The property is wholly leased to Versalux Lighting Systems Pty Ltd.
43 Boulder Road, Kalgoorlie WA
This property features a two-storey office building, providing ground-floor office accommodation with a front reception and waiting area, meeting rooms and general offices. The upper floor comprises office and boardroom space. Both floors have bathroom facilities. Onsite car parking is available and is secured by an electric gate. Construction was completed in 2004.
The property is fully leased to the Commonwealth Government (NIAA) and Goldfields Indigenous Housing Association.
823 m2
- in which at least 50% of the beneficial interests are held by Aboriginal or Torres Strait Islander people; and/or
- that furthers the economic, social or cultural development of Aboriginal or Torres Strait Islander people; and
- c. that is a Wholesale Investor (as defined in section 761G of the Corporations Act) making an initial investment of at least $500,000 (unless a lower amount is approved by the Trustee).