Investa Commercial Property Fund

Product Name

Investa Commercial Property Fund

Issuer

Investa Property Group

Category

Investment product

Type

Fund/Trust

Target

Retail, Wholesale

Certified Since

2007

Certification Symbol

Responsible Investment

Asset Classes

Property - direct

Markets

Australia

Investment Approaches

Sustainability themed, Other

It Includes

  • Riaa icons 32 Green property

It Excludes

  • Default selected exclusion No specific exclusions

Overview

Investa Funds Management Limited (IFML) creates quality property investment funds for investors wishing to directly invest in commercial and industrial property. Our aim is to optimise distribution returns and provide capital growth whilst enhancing unitholder returns by integrating long-term sustainability practices in the creation of our investment products.


Description


We work at improving the quality of the investment portfolio and we only acquire or redevelop assets after careful consideration.

In selecting properties, our investment and risk guidelines include:

  • Benchmarking the baseline environmental performance of the asset against the market using established ratings such as the Australian Building Greenhouse Rating (ABGR) and the National Australian Built Environment Rating Scheme (NABERS);
  • Identifying and quantifying opportunities to enhance environmental and social performance;
  • Calculating the cost-benefit of enhancements, including the potential for repositioning the asset to appeal to a different category of tenants; and
  • Determining the net value that enhancements could add to the underlying asset to inform the bid price calculation.

As a rule, all enhancements capable of producing a risk-adjusted return on investment that is marginally higher than the underlying asset’s yield are considered and budgeted for. Their risk-adjusted contribution to net operating income is taken into account when undertaking due diligence for acquisitions. Property investment opportunities are disregarded where it is determined that they cannot be brought to portfolio-average environmental and social performance through application of Investa management expertise and appropriate capital investment. However, below portfolio-average properties are considered for acquisition where opportunities to enhance performance to at least portfolio-average standard are identified.

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