FortHill Property to raise equity for third growth phase
FortHill Property has announced that its third equity fundraiser, which opened on April 20, 2021, will enable the next phase of growth for FortHill’s industrial property portfolio.
With a pipeline of acquisitions earmarked for 2021, Nick Maier, general manager of FortHill, said, “FortHill sees solid growth ahead which will take the fund to well over $350m in assets.”
Tenanted by nationally and internationally recognised brands, FortHill’s long Weighted Average Lease Term (WALT) of 10.8 years provides steady income and growth.
Maier said that industrial property has been a solid dividendpaying sector for many years.
“Investors are seeking stable, long-term returns in the current low-interest rate environment.”
FortHill secured five additional properties during 2020 in Wiri (Auckland), Hornby Quadrant (Christchurch), and Izone (Rolleston) valued at over $100m.
“FortHill has delivered on its mandate of growing a diversified portfolio of industrial properties and intends to continue to do so,” said Maier.
The current equity raise is for a minimum of $25m and capped at $50m. This is being undertaken as the FortHill board continues to see high-quality growth opportunities in both the North and South Island which will add to the portfolio, diversification, and returns.
“The COVID-19 lockdowns last year reminded investors of the importance of ‘essential services’,” said Maier, attributing part of FortHill’s attractiveness to its exposure to essential service tenants.
Established by Calder Stewart in 2019, FortHill has become one of New Zealand’s leading industrial funds, capitalising on over 65 years’ of industrial property, construction, and investment experience.
FortHill has delivered strong growth and significant double-digit returns in its portfolio of industrial assets, with the fund currently containing 15 high quality assets.