The last 20 years investing with Augusta
I would like to record a few thoughts of our experiences over the last 20 years investing with Augusta Funds Management (previously KCL).
Our first investment with Augusta was in 1997 with an investment in a Brisbane syndicate, this was at the same time that we set up our own business. Over the last 20 years we have now invested in a total of 22 syndicates, several of which have been sold. We have been very pleased with the overall performance of our portfolio of investment properties, this period covered the time the world experienced the GFC which had a major impact on many investments. It was in these difficult times that the identification of properties that have excellent location, building type, quality of tenant and good lease profiles proved essential.
I believe that Augusta has a very high regard for the interests of investors, and works in the best interests of the investor. I also consider that individual investors do have the ability to have a say on how the investment is managed.
I consider that Augusta very carefully mange three distinct areas. Namely:
1. Identifying property opportunities and securing strong tenants.
2. On-going professional management of the properties and tenants.
3. Managing and reporting to investors.
The option of syndicated commercial properties as an investment class, gives smaller investors the opportunity to invest in medium to larger sized properties with typically larger and normally more secure tenants, that would not otherwise be available to an individual. It also enables investors to spread the risk of investment over a number of properties with different location, property type and investment profile. The Augusta investment model allows individual investors a level of involvement not available in other types of investment. I believe the size of the Augusta operation is a good mix of large enough to get good opportunities but not too big for investors to be just another number.
The recent implementation of the secondary market where investors are able to buy and sell units has given the investments a much greater level of liquidity and mitigates one of the previous concerns for investors who wish to exit from their investment for any reason or change in circumstance.
I am more than happy to discuss with any potential investor who wishes to contact me who may wish to discuss investing with Augusta (in general terms).
No surprises approach!
We have been investing in commercial property, initially with KCL, now Augusta, since 2007. These properties are part of a larger portfolio of investments which allow us to diversify our holdings both in New Zealand and in Australia .
We have always been very impressed with the briefings that KCL and now Augusta have given to prospective investors; detailing risks, rewards, and costs that occur with such investments. While we appreciate that Augusta’s commissions charged are not small, we also understand and appreciate the expertise, knowledge and management skills that Augusta bring to the investments. We have also been impressed with the quarterly reporting that occurs giving us a “no surprises” knowledge situation reporting on the state of the properties, and relevant tenant and financial information.
The monthly distributions allow us to accumulate funds for further investments to secure our retirement and our next generations’ future.
At an investment seminar Bryce Barnett once said to the group that we should always have some fun with our investments. Augusta certainly go that extra mile to ensure their investors have some fun.
The added benefits of social gatherings of many investors during AGM times give a chance to meet investors in many walks of life and see old friends again. The dinners, entertainment and interesting guest speakers all add to the value of this investment group. We do enjoy being part of the Augusta investment family.
Ian & Judith Armstrong, Taranaki