Property
Property fund to profit from bank's 'demise'
Dan Kilpatrick, 24 November 2011
Tritax has announced the launch of the Eurocentral 8 No.2 fund, which the firm has said will offer investors the chance to benefit from 'opportunities presented by the demise of Anglo Irish Bank'.
The fund will acquire the debt, previously held by Anglo Irish, on three industrial warehouses in Scotland and will receive rights to all income from these assets.
Tritax, which manages £2.1 billion of property assets, claimed investors will receive income in excess of 10 per cent a year, potentially rising to around 13 per cent in years two and three.
The group suggested a self-invested personal pension (SIPP) as a suitable wrapper for investors, as they would be able to receive tax free income of more than 10 per cent a year, paid twice annually, if they were to invest via a SIPP.
The Eurocentral fund will be able to sell its assets from 16 March 2013 if an early sale benefits investors - a decision that will be made by Tritax's asset management team.
Mark Shaw, chairman of Tritax, commented, 'The Eurocentral Fund offers investors the opportunity to take advantage of some of the refinancing deals that are currently available. This investment not only provides access to properties at a distressed price, but access to high quality properties in a good location with secure income streams.
'The fund should produce very attractive returns with a number of possible exit options which will start to be assessed in two years’ time,' he added.
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