Strategy for next IP? What to do in this scenario

Potentially - but the more complex your structure, the harder to get finance. Banks want to see the income in tax returns generally, so keeping income in a bucket company may hinder you more than you think.

What are you actually trying to achieve? The funkier you get with structuring in Trust’s and companies for a simple portfolio the more you risk making life harder than it has to be. If it’s for asset protection that’s different, but for the average person a complex trust structure can be more hassle and less benefit than you anticipate.

 

This is spot on and is an important consideration - e.g. when are you planning on retiring. My structuring has been amazing for tax purposes (put all my financial securities in there), but has killed my use of the income from them (>$40K) for serviceability.

 

No problem! I know what you mean about Centuria. They tend to be somewhat counter-cyclical and some of the stuff they have bought had high vacancies but opportunity to enhance - I do like this, but it is potentially higher risk/return. I think they will buy A-grade stuff if the opportunity stacks up:
Centuria doubles money in two years on Sydney tower

Recently, they bought two towers in Chatswood on a single title in partnership with a US fund manager called BlackRock. They quoted higher residential conversions in the North Shore, which would drive up rents as well as better connectivity with the Sydney metro. The towers had low WALE (<2 years at the time) and some vacancies (albeit it is heaps of small tenants), however they plan to reconfigure floor plates, increase WALE and divvy up the two towers and sell them individually to deepen pool of buyers. On this basis, I figured there was great upside if executed well and considered it as an active growth investment, as opposed to a pure income play as some of the other 20-year government leased opportunities around.

Cromwell is great - they also have a great microcaps fund. The manager Stuart Cartledge is an impressive individual.

For the trust deed, I found that a full certified execution page normally suffices.

 

I got some valuable info here thanks @bookworm and @The Y-man . Will do some reading and TRY to understand.

My understanding of the term TRUST : having a Trust/or buying using Trust is that it is for people who are very rich (alot of money)

so if there is a requirement to have a trust to invest in these -I think I am already out.

I am a small fish and would like to invest approx $125K (depends on the fee and commission or any ongoing costs) using our super/smsf.

 

why?

 

You dont have to have millions to use a trust. And a SMSF is a trust too

 

Hi mate, in movies -all billionaires start a trust fund so i assumed , one has to have plenty $$$$$$$

 

All billionaires brush their teeth too. But they don't need to wait for their first million to do so.