A special purpose vehicle set up by Australia’s Industry Superannuation Property Trust (ISPT), to manage one of Melbourne’s commercial buildings, has been ranked the best performing fund by ANREV.
ANREV Australian index of core funds has revealed that ISPT 50 Lonsdale Street Property Trust returned 19.02% - comprised of capital and income growth - in the 12 months from July 2017 to June 2018.
The ANREV Australia Core Open End Fund Monthly Fund Index (ACOE), launched in August last year, measures the performance of 19 Australian funds, with total gross asset valued at AUD102bn (€64.5bn).
The next best performing fund was the Lendlease-managed office fund, APPF Commercial, which delivered a net total return of 18.20%.
It outperformed the Investa Commercial Property Fund, which was ranked third with a total return of 16.60%.
The index, which was launched in August last year, showed that, in general, office-focussed funds delivered the best returns.
The sector’s one-year financial return was 14.99%, with 10.17% coming from capital growth alone.
Diversified funds returned 12.19%, with capital growth of 7.13% forming a strong component of the total return.
Industrial funds recorded a total return of 10.73% and retail funds were the laggard with 9.12%.
Overall, ANREV Index showed that Australian core funds saw a total return of 11.75% from July 2017 to June 2018.
It said that the capital growth component increased to 6.98%, compared with 6.7% recorded in the prior period between July 2016 and June 2017.
But income slipped by 0.58% to 4.49% in the same period.