Rabinov Diversified Property Trust has purchased its 15th property by paying just over $11 million for a 3.5ha site in Kilburn, South Australia. The property has a site area of 3.571ha and an existing construction of approximately 9,565 sqm. According to Trust Managing Director, Ronald Serry, the new facility will be approximately 8,062 sqm. The Trust has agreed to acquire the entire beneficial and equitable interest in the land, the existing facility and the new facility and other assets, rights, entitlements and obligations on execution of the deed. Serry says the acquisition of the One Steel property is in line with the objectives of the Trust to acquire properties that are leased to well known tenants, under a long term lease arrangement and preferably with fixed annual rental increases. One Steel Trading Pty Ltd has entered into a new 10-year lease arrangement upon the completion of development work by Harmony Corporation Pty Ltd. The property will be purchased using the Trust’s existing banking facilities. The amount payable by the Trust is $11,205,000 at a yield of 8.75%. The Trust will continue to acquire more properties, with funding to be provided in the form of either debt or equity, or a combination of both.
Rabinov pays $11 million for Adelaide property
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