:: Our Services

Property investment sourcing / disposal consultancy

Due diligence and transaction execution

Asset management and re-positioning

Tenant representation in lease negotiations

Equity and debt raising

Development consultancy

Corporate structuring

General real estate advisory services

Sourcing, Acquiring and Disposal of Property

With experience in over $1 billion worth of purchase and sale transactions for a variety of investment funds, and long-standing relationships across Australia with both property owners and estate agencies, Killila Property Group is well placed to act on behalf of investors in identifying the right property to meet their needs, then subsequently negotiating purchase terms and conducting all necessary due diligence enquiries to ensure that the property represents a suitable investment for the client.

Having acquired property in a number of different states as well as having significant legal experience of our own, we are familiar with the regulatory regimes applicable in each jurisdiction and can work closely with the client’s appointed legal representative to ensure that all relevant legal matters are dealt with appropriately in the course of the transaction.

Further, we have been responsible for a number of transactions where the acquisition of the property for structuring reasons has been acquired other than pursuant to a simple contract of sale. Where possible we can assist with structuring your acquisition in a way which minimizes transaction costs and maximizes the return to the client, for example by a sale of units in a trust.

Similarly our extensive experience with selling property, particularly in difficult markets such as those experienced over 2008-2012 means that we are well placed to act on behalf of owners looking to divest assets. As well as handling the sale process itself, can provide invaluable advice on agent selection, property presentation and purchaser targets to ensure that the best result is obtained on sale for the client.

Asset management and re-positioning

Once a property has been successfully acquired, Killila Property Group can, if required, continue to represent the new owner as asset manager. The role of asset manager, while “hands on” in many respects is fundamentally a strategic one and must be distinguished from the day-to-day role carried out by the property manager. The relationship between asset manager and property manager is however important and we can assist with guiding the client to select the most appropriate property management firm and individual to ensure that the property is managed in the most optimal manner.

We have had extensive industry experience acting as asset manager for the various Macquarie and Charter Hall funds, overseeing a portfolio of assets in excess of $1.2 billion. This has involved assets across all parts of the risk spectrum from highly passive buildings leased for the long-term to 1-2 tenants,  “core plus” style assets which require more attention in terms of leasing and/or refurbishment and development projects such as BHP’s new global headquarters at 171 Collins Street.

An important skill required of any asset manager particularly in difficult markets is to first, establish and maintain excellent relationships with tenants of a property so as to maximize the chances of them renewing their leases when their expiry falls due, but secondly, if this cannot be done, to be able to successfully re-position the building via cost-effective refurbishment and securing of replacement tenants.

Having undertaken over 300,000 square metres worth of leasing transactions and successfully negotiated many major lease renewals, we are well-placed to represent clients in discussions with their tenants and provide the right advice in terms of the leasing market, the requirements of tenants and any necessary capital works needed for the building to maximize the rental return for investors.

We also have extensive experience working with buildings with capital constraints, high vacancies or other particular challenges and can therefore act as appointed asset manager where required on behalf of organisations to re-position assets appropriately for sale or re-financing.

Equity and debt raising

As financial markets continue to suffer from difficult capital raising conditions, particularly for commercial property, having access to appropriate funding for your property investment or development is absolutely critical.

With a broad range of investor contacts right across the spectrum from wholesale superannuation funds, sophisticated investors, private banks and financial planning groups, Killila Property Group is able to source equity capital for both investment and development properties. We also have relationships with a wide range of potential debt providers, both in terms of lower cost senior debt and higher cost mezzanine debt providers, who are increasingly active in the market and can fill the funding gap between senior debt and equity capital.

Leasing Advice

For many businesses already occupying or seeking to occupy commercial buildings, dealing with building owners on their leases can be a fraught experience. In many cases, particularly in better quality buildings, the building owner is often a major property fund with a large portfolio and an extensive knowledge of property markets, which means that there can be a large “information gap” between landlord and tenant, putting the tenant at a significant disadvantage in lease negotiations.

Having undertaken well over 200 leasing transactions, we are well versed in all aspects of leasing, particularly in relation to commercial buildings, and can help tenants redress this imbalance by providing them with relevant market information, advice on what pitfalls and traps to avoid and generally advising them through the negotiation process with the landlord.

Importantly, however, to maintain our strict independence, we will not take on advisory work for tenants where to do so would create a conflict with our other clients.

Corporate Structuring

Property and finance markets are always evolving and often a vehicle that was set up to hold a property or properties some years ago may no longer be the most appropriate vehicle to continue holding the properties or best meet the needs of investors.

In these circumstances, a restructuring of the holding company or trust may be required in order to best serve investors, or in some cases, mergers with other funds may be the most beneficial solution.

We have had involvement in a number of transactions of this nature and can assist clients where required by assisting with any necessary or desirable restructuring activities.

General real estate advice

Property markets are by their nature dynamic and can move very quickly up and down. To this end, when considering whether to invest, develop or dispose of a property it is important to have access to the latest market information and trends so that any decision can be as fully informed as possible.

At Killila Property Group, we enjoy access to a broad range of market research from not only real estate firms but also brokers and investment banks, who can provide critical information on macro-economic matters that affect property markets. Drawing on this research, we can then apply it to the particular needs of a client and their property and tailor a report and recommendations on which the client can then act.