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MAB Healthcare Trust to sell property at 30 percent above 2003 purchase price


MAB Healthcare Trust to sell property at 30 percent above 2003 purchase price

In an extraordinary general meeting today, unitholders overwhelmingly voted to wind up the MAB Healthcare Trust (MHCT) and sell its sole asset Victoria House for $17.53 million.

The well-performing MHCT (ARSN 103 463 583) is an unlisted Australian unit trust which owns the private hospital and medical centre located at 310-324 Malvern Road, Prahran in Melbourne.

MHCT is managed by MAB Funds Management (MAB FM) and has consistently met forecast distributions since inception, returning 9.75 percent to unitholders this year.

MHCT had an intended investment term of six years, however after receiving several unsolicited offers for the property, MAB FM determined it to be in the best interests of unitholders to explore the market rather than wait until 2009 when major leases will be close to expiry.

General Manager for MAB FM, Mr Nick Gray, is delighted with the sale which is considered to be at full price in light of high rental rates being paid by current tenants and the risk of major leases ending.

Gray said: “The Victoria House sale reflects MAB FM’ s commitment TO act IN the best interest OF investors.We ‘ve ensured strong profits are locked in for unitholders rather than retaining funds under management and exposing unitholders to potentially less favourable conditions in the future.

“We have again reinforced our reputation as a specialist property funds manager and our ability to act strategically.”