CQE $2.41 AUD 0.82% 14 June 17:19 AEDT, delayed by 20 mins.

Charter Hall Social Infrastructure REIT (ASX:CQE)

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Fund overview

The Charter Hall Social Infrastructure REIT (ASX:CQE) (CQE or Trust), is an ASX listed Real Estate Investment Trust (REIT) that is the largest Australian property trust investing in social infrastructure properties within Australia. 

 

These properties, which include childcare centres, transport and communications, health and education facilities, and government agencies, are vital in delivering essential community services to Australians.

 

Our strategy focuses on providing investors with secure income and capital growth through a diversified portfolio of modern and specialised assets in strategic locations.

 

Occupancy
100%

Occupancy

Properties
360

Properties

WALE
12.8 years

WALE

Gross Assets
$2.2bn

Gross Assets

Key attributes

  • ASX-200 listed property trust with total assets of over $2.2 billion and 360 properties
  • Long leases (WALE – 12.8 years) with predictable annual rental increases
  • 100% occupancy with high tenant customer retention due to strategic location of properties
  • Strong ESG credentials
  • Conservative balance sheet gearing of 32.5% and weighted average debt maturity of 4.3 years
  • FY24 forecast distribution of 16 cents per unit, paid on a quarterly basis

Strategy

  • Providing investors with secure income and capital growth through exposure to a diversified Social Infrastructure property.
  • Own modern or specialised assets in strategic locations leased to sector leading corporates and Government tenants.
  • Targeting sectors providing essential community services underpinned by Government support

Portfolio

  • 360 properties with 100% occupancy and WALE of 12.8 years
  • Weighted average rent reviews of 3.5% for the 12 months to 31 December 2023
  • 46% of rental income subject to market rent reviews in the next 5 years
  • Majority of leases in portfolio are triple net
  • Total land holdings of 109.9 hectares predominantly located in metropolitan and residentially zoned areas

Experienced Manager

  • Managed by Charter Hall, one of Australia's leading fully integrated property groups
  • Charter Hall has $67.7 billion of real estate funds under management across 1,641 properties
  • Charter Hall's interests are aligned through a material investment in the REIT

What are Social Infrastructure properties?

At Charter Hall, we see Social Infrastructure properties as playing an important role in delivering essential community services to Australians.

Our growing and increasingly diversified Social Infrastructure portfolio comprises of childcare centres, transport and communications, health and education facilities, and government agencies.

With a strong weighting toward education, we're Australia's largest owner of early learning centres, actively partnering with some of the country's leading childcare operators to provide an integrated service offering.

We’re experts at selecting the best properties, with a keen understanding of demand and supply fundamentals such as strong population growth, workforce participation and civic needs, and we deliver solutions that support the community and drive value for our investors.

Our areas of focus

Childcare

Importance continues as an essential part of Australia’s education system and integral to Australia’s economic prosperity to increase workforce participation

Education

By 2050 it is estimated that 55% of all employed persons will require a higher education qualification, up from 36% of Australia’s working population at present

Health

Ageing population to continue to drive increased demand for care and support services

Government Services

Areas of focus include those that are providing an essential community service (e.g. justice and emergency facilities)

Transport

Increased road, rail and air infrastructure is required to service Australia's growing population

Benefits of Social Infrastructure property investment

Geoscience Australia

  • Positive industry and demographic fundamentals to provide further growth opportunities
  • Population growth of 3.9 million people or 15% over the next 10 years
  • The number of Australians aged 65 and over will more than double over next 40 years
  • Strategic locations and specialist use properties with limited competition and low substitution risk result in long leases and drive high tenant retention rates
  • Low correlation to other property classes due to essential services providing stable ‘through the cycle’ returns
  • High underlying land values
Geoscience Australia

Our practical, authentic and targeted approach

We continue to partner with our customers and communities to explore opportunities and deliver meaningful change.

CQE leverages Charter Hall Group’s platform-wide scale and integration of sustainability as a core driver of value for the REIT.

Find out how our approach sustainability remains practical, authentic and targeted.

Access

Geoscience Australia

Our partnerships drive sustainable outcomes

At CQE, we invest in more than just assets; we invest in partnerships that drive substantial ESG outcomes. Our approach extends beyond acquiring properties with strong sustainability attributes to fostering meaningful collaborations that yield long-term benefits for our communities and the environment.

Learn about our partnerships

Key Social Infrastructure tenants

Tour a selection of our Social Infrastructure assets

Coburg North - Victoria

Balwyn North - Victoria

Northcote - Victoria

Hawthorn - Victoria

Camberwell - Victoria

East Brighton - Victoria

Board of Directors

Greg Paramor, AO

Greg Paramor, AO

Non-Executive Chair

Michael Johnstone

Michael Johnstone

Non-Executive Director

Sean McMahon

Sean McMahon

Chief Investment Officer

Kate Melrose

Kate Melrose

Non-Executive Director

Miriam Patterson

Miriam Patterson

Executive Director

Bevan Towning

Bevan Towning

Non-Executive Director

Fund Management Team

Travis Butcher

Travis Butcher

Fund Manager

Carla Hayes

Carla Hayes

Deputy Fund Manager - CQE

Scott Martin

Scott Martin

Head of Finance - Diversified

Mark Bryant

Mark Bryant

Group General Counsel and Company Secretary

Contacts

Lula Liossi

Lula Liossi

Investor Relations Manager

Philip Cheetham

Philip Cheetham

Head of Listed Investor Relations

Important Information
This information has been prepared by Charter Hall Group (Charter Hall Limited) (ABN 57 113 531 150) and Charter Hall Social Infrastructure Limited (ABN 46 111338937; AFSL 281544) as the responsible entity for Charter Hall Property Trust (ARSN 113 339 147) (together, the Charter Hall Group or the Group). It is a summary and does not purport to be complete. It is not intended to be relied upon as advice to investors or potential investors and does not take into account the investment objectives, financial situation or needs of any particular investor. A reader should, before making any decisions in relation to their investment or potential investment in the Charter Hall Group, seek their own professional advice. This document is not an offer or invitation for subscription or purchase of securities or other financial products. Indications of, and guidance on, future earnings and financial position and performance are “forward-looking statements”. Due care and attention has been used in the preparation of any forward-looking statements. Such forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors, many of which are beyond the control of the Group, that may cause actual results to differ materially from those expressed or implied in such statements. There can be no assurance that actual outcomes will not differ materially from these statements. Except as required by law, the Group does not undertake any obligation to publicly update or review any forward – looking statements, whether as a result of new information or future events. This material has been made available to the recipient for information purposes only. It is not intended to be, and does not constitute a Product Disclosure Statement (PDS), prospectus, short form prospectus or profile statement as those terms are defined in the Corporations Act. It does not constitute an offer for the issue, sale or purchase of any securities, or any recommendation in relation to investing in any asset. This document has been prepared without taking account of any particular investor’s objectives, financial situation or needs. Entities within the Charter Hall Group may receive fees for managing the assets of, and providing resources to each Fund. For more detail on fees, see the relevant PDS.