An Overview of Unlisted Property Funds

Unlisted property funds are a type of investment vehicle that can be structured in two ways: closed-ended and open-ended. Closed-ended funds are typically single-asset funds with a fixed-term investment period of 3-10 years. Investors receive units at the start of the fund and are generally unable to redeem them until the underlying property is sold, proceeds are distributed, and the fund is wound up. Tycoon offers several closed-ended unlisted property funds that invest in high-value commercial property throughout Australia.

Open-ended funds, on the other hand, have a diversified portfolio of properties and no fixed-term of investment. They can continue to issue units and acquire new properties on an ongoing basis. Investors are provided with a liquidity facility that enables them to redeem part or all of their units in the fund at certain times during the fund’s life. Tycoon has three open-ended unlisted property funds: the Tycoon Property Development Fund (TPDF), and the Tycoon Healthcare Property Fund (THPF).

It is important to weigh the benefits and risks of investing in unlisted property funds before making any investment decisions.