Investment manager Cenkos Channel Islands has launched a new fund giving investors the ability to invest in local property within the Channel Islands.
Capitalising on the islands' strong commercial property sector, the Channel Islands Property Fund Limited, is an authorised, closed-ended investment company incorporated in Guernsey and listed on the Channel Islands Stock Exchange. The company anticipates that the fund will pay out dividend yields of 6 percent per annum.
"Our aim is to provide a return from a combination of capital growth and an appropriate dividend policy through the acquisition and active management of commercial property, predominantly in the Channel Islands. We have already acquired our first property in Guernsey, Regency Court, situated at Glategny Esplanade within St Peter Port and are finalising a deal to purchase a property in St Helier, Jersey before the end of the year," said Jonathan Ravenscroft, Chief Executive of Cenkos Channel Islands.
Guernsey resident and Chairman of Breedon Aggregates and Leicester Tigers, Peter Tom, who is Chairman of the Channel Island Property Fund said: "With political stability, successful economies, low tax rates and international credibility, the islands offer an attractive business environment. That, combined with local planning restrictions in both islands that limit the availability of new stock means that developments tend to be occupier led, resulting in historically low vacancy rates.
"Compared with the UK, where the peak to trough fall in commercial property values was in excess of 42 percent, values in the Channel Islands are believed to have remained broadly stable. With recent positive news coming out of the rental markets too, the board consider this to be an attractive investment opportunity and as such, the board and the investment manager have committed a combined investment of circa £2,000,000 in the company on the same terms and conditions as other investors."
Cenkos is using Riverside Capital Group Limited as an investment consultant and Montagu Evans (CI) Limited as property manager responsible for all future acquisitions as well as day to day property management. Legis Fund Services Limited will act as an administrator and registrar for the company and Mourant Ozannes will be its legal advisers.
Founded in 2005 as a private client, intermediary and institutional stockbroker, Cenkos Channel Islands Limited is a subsidiary of Cenkos Securities.
For more information about Guernsey's finance industry please visit www.guernseyfinance.com.
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