Cornerstone and Cazenove Capital’s Multi Strategy Property Trust for Charities has switched its £24.26m of assets and its investors to Mayfair Capital’s Property Income Trust for Charities (PITCH).
The move gives investors a larger portfolio and lower total expense ratio. James Thornton, Mayfair Capital’s chief investment officer, said PITCH has provided a 6% target income yield to investors and expects to finish 2013 at between 7% and 8%.
This year PITCH has grown to £215m. It takes in money monthly and has raised £60m of equity so far this year – about three times the level of 2012.
PITCH has also refinanced a Barclays securitised loan costing 5.6%, with £26m of five-year, fixed-rate Canada Life debt at 3.6%. The annual £300,000 saving was “very positive for the distribution yield,” Thornton said.