This article is from the Australian Property Journal archive
THE Multiplex Acumen Property Fund has recorded a consolidated net loss of $14.8 million for the six months to December 31 2009.
The result is better than the previous half year where the fund recorded a net loss of $54.4 million.
The fund did not declare a distribution for the period. The distribution stopper arising from the investment in the Multiplex Property Income Fund (Income Fund) remains in place.
Distribution income fell 56% to $2.7 million from the prior corresponding period as underlying investments cut distributions to fund higher financing charges.
Fund manager Lawrence Wong said the fund continue to be affected by the global financial crisis.
But he added that the degree of decline has slowed as a result of improved conditions in the property and financial markets.
The fund’s investment portfolio was revalued at $189.7 million as at December 31 2009 down from $205.2 million as at June 2009.
Wong said the immediate challenges are the achieving debt reduction targets set-out in its debt facility and resolving the structural restrictions that exist from its investment in the Income Fund.
“The fund is considering asset sales and / or capital raising alternatives that will optimise value for investors.
“Whilst certain parts of the listed sector have benefited from accessing additional capital, the unlisted sector has suffered from limited access to capital.
“Despite improved conditions in the property and financial markets, it is anticipated that the fund will continue to face a difficult operating environment and it may be some time before NTA improves and conditions recover to a level that may allow the fund to resume distributions to investors,” he concluded.
Australian Property Journal
