Charter Hall/HOSTPLUS complete pub purchase
![image](https://moneymanagement-live.s3-ap-southeast-2.amazonaws.com/s3fs-public/sites/moneymanagement.com.au/files/beer-300.jpg)
![image](https://moneymanagement-live.s3-ap-southeast-2.amazonaws.com/s3fs-public/sites/moneymanagement.com.au/files/beer-300.jpg)
Charter Hall has completed the purchase of 54 "high quality hospitality assets" housing pubs and bottle shops as part of a $603 million deal with superannuation fund HOSTPLUS.
Both the property group and the industry fund have committed equity of $151 million each with a $340 million non-recourse debt facility from a syndicate of two banks funding the remainder of the purchase of the 54 properties from Woolworth's ALH subsidiary.
Under the terms of the sale, ALH has agreed to an initial lease term of 20 years, reflecting an initial yield of 6.8 per cent, Charter Hall revealed in a statement last month.
"The triple lease structure and uncapped annual Australian CPI rental increases from the leading retail liquor and pub operator, provides an attractive investment proposition," Charter Hall said.
HOSTPLUS chief executive, David Elia said the deal provided "attractive investment attributes that align with our primary objective of delivering stable returns to our members", when the deal was announced in September.
Recommended for you
Policy and advocacy specialist Benjamin Marshan has left the Council of Australian Life Insurers after less than a year, having joined in March from the Financial Planning Association of Australia.
The declining volume of risk advisers meant KPMG has found a rising lapse rate for insurance policies arranged by independent financial advisers, particularly in the TPD and death cover space.
The Life Insurance Code of Practice has transferred from the Financial Services Council to the Council of Australian Life Insurers.
The firm has announced it will no longer be writing new life insurance policies in the retail advised and corporate group insurance channels, citing a declining market and risk adviser numbers.