The Domaine SEQ Growth Fund portfolio comprises two retail and two commercial properties in South East Queensland. The Fund was established in September 2005.
ARSN 115 639 971
Responsible Entity APGF Management Limited
ACN 090 257 480 AFSL No. 229287
- Financial Statistics as at 30 June 2013:
- Net Tangible Assets per unit (NTA): $0.01 (audited)
- NTA as at 30 June 2012: $0.34 (audited)
- NTA as at 30 June 2011: $0.52 (audited)
- NTA as at 30 June 2010: $0.55 (audited)
- The NTA does not represent the return an investor will receive on final settlement as it does not consider future performance, distributions, disposal costs or achieved sales price. The NTA should be used as a guide only and is calculated using the latest valuation
Investors are aware all property assets have been divested and it was the Manager’s intention to complete the wind-up of the Trust prior to 30 June 2013. There are currently two outstanding legal matters which must be resolved before the Trust can be completely wound-up. Regrettably as there are a number of external parties involved, the timing of the wind-up is yet to be determined. The Manager will complete the wind-up of the Trust as soon as practicable after these legal matters are resolved.
Investors will shortly receive a letter with further details and the taxation statement for the 2012/13 financial year.
The Manager had hoped to be in a position to pay the final return of capital and complete the wind-up of the Domaine SEQ Growth Fund and Trust prior to 30 June 2013.
Unfortunately, an outstanding matter has entered prolonged negotiations in the legal system and the wind-up process cannot be completed until the matter is resolved.
It is the Manager’s intention to have the matter finalised prior to September 2013 to enable the wind-up date for the Fund and Trust to fall within the 2012/13 financial year, however as external parties are involved the timing is out of our control.
The Manager is ready to act on the wind-up of the Fund and Trust as soon as the legal matter is resolved.
Investors are aware the Domaine SEQ Growth Fund is nearing completion of the wind-up process, with the final residual return of capital amount scheduled to be paid to investors in the first quarter of 2013.
At this time, we are unable to complete the wind-up process until several matters in relation to outstanding rents are finalised. We hope to be in a position to complete the wind-up of the Fund by June 2013.
We are pleased to report the Calamvale Central Shopping Centre settled for $62 million on 31 August 2012. A partial return of capital will be paid to investors within the next fortnight and investors will be sent a letter advising details of the payment.
Exchange on the Calamvale Central Shopping Centre contract of sale for $62 million has been completed. This sale price is $2.5 million higher than the current valuation and book carrying value. Settlement is scheduled for 17 September 2012.
A letter will be sent to investors following settlement advising details on return of capital payments and redemption of units.
We are pleased to report the Mt Gravatt Shopping Village settled for $33.2 million on 30 April 2012. A partial return of capital/distribution will be paid to investors within the next fortnight and investors will be sent a letter advising details of the payment.
The only remaining property in the portfolio is the Calamvale Shopping Centre. An expression of interest campaign will commence shortly and once this property is sold investors will receive a second return of capital payment/distribution. A third and final return of capital/distribution will be paid to investors once the Fund and Trust is in its final stages of wind up and all wind up costs have been paid or determined.
Exchange on the Mt Gravatt Shopping Village contract of sale for $33.2 million has been completed. Settlement is scheduled for 30 April 2012. It is expected a partial return of capital/distribution will be paid to investors in early May 2012.
The Manager has secured an offer for the Mt Gravatt Shopping Village which has been accepted. The purchaser is currently undertaking due diligence with settlement scheduled for late April 2012.
The Unit Holder meeting scheduled to be held on 10 February 2012 has been cancelled.
The reason for the cancellation is the major investors in the Domaine SEQ Growth Fund wish to proceed with the sale of the two remaining assets and wind-up the Fund without making the proposed amendments to the Constitution.
The proposed amendments to the Constitution are not technically required in order to terminate the Fund as Clause 25.1(b) of the Constitution(s) already allows for both the Domaine SEQ Growth Fund and Trust to be terminated on a date to be notified to Unit Holders. This will occur after the sale of the last asset and investors will be kept informed of the asset sales program which is intended to be completed in 2012.
We regret any inconvenience caused by the cancellation of the meeting and have attempted to contact as many investors as possible to notify them of the cancellation.
We are pleased to report the sale of 333 Ann Street and CB1 and CB2 at SW1 settled on 1 February 2012. It is likely that all or the majority of the sale proceeds will be used to reduce the debt facility with the National Australia Bank.
The prospective sale of the Mt Gravatt Shopping Village did not proceed.
Further to our update below, contracts have exchanged with Growthpoint Properties Australia to acquire 333 Ann Street for $109.9 million and CB1 and CB2 at SW1 for $96.8 million. These amounts are before the payment of outstanding incentives.
The contracts are subject to the completion of a fully underwritten equity raising with settlement scheduled for February 2012.
The due diligence period for the Mt Gravatt Shopping Village is schedule to be completed in late January 2012. Details on the purchaser and contract terms will be advised when the contract is exchanged.
Following recent extensive marketing campaigns for 333 Ann Street, CB1 and 2 at SW1 and Mt Gravatt Shopping Village, we are pleased to advise that all three of these properties are now under contract with the purchasers currently undertaking their due diligence. The purchasers’ due diligence are due to be completed by the end of January 2012 with settlements due 30 to 60 days thereafter.
On 10 April 2011 the property at Yatala sold for $11.75 million. The majority of the proceeds from the sale were used to reduce bank debt, and the remainder was retained within the Fund for working capital.