Whilst there is probably no such thing as a recession proof property class, the Manager has suggested, in its opinion pieces, that the softening of capitalisation rates due to inflationary pressures may well have less impact on service station and convenience store assets held by the Fund, than many other property classes. This, we have argued, is due to the asset having certain features:
The Manager has seen that prices for quality assets have, to some extent, resisted tightening cap rate movements, and there are encouraging signs that inflationary pressures may now have peaked. On the following sections are two recent AFR articles.
Our tenants include:
Source : Rich Listers cash in on appetite for recession-proof retail assets (afr.com)
Source : Investors target fast food, petrol stations amid housing downturn (afr.com)
To find out more about the Banner Service Station and Convenience Store Property Fund click here or contact enquiries@bannerassetmanagement.com