Product information
Welcome Investor!
In a time when deposit interest rates are declining and equity markets remain unpredictable, quality commercial property continues to offer a compelling alternative — combining stability, income, and potential for capital growth. The Property Plus Fund was created to give investors access to professionally managed, well-diversified commercial property opportunities. By pooling capital across multiple properties, the fund balances income with strategic upside while maintaining a clear focus on liquidity and investor flexibility.
This page contains all the due diligence information on our Net Property Fund KL Limited Partnership and the strategy behind the fund on how your returns are calculated and expected timings of returns. Please see the Key Documents for a full suite of due diligence material and the information memorandum which goes into detail.
**Note this is a commitment round as we finalise all the legal paperwork, investors can submit the amount they wish to invest but nothing will be finalised until the completed documentation has been provided and is acceptable to the investor.
Fund Strategy
How it works
Capital is being raised from wholesale and institutional investors and will be invested providing income, with capital gains through property value increases.
The Net Property Fund KL LP team have identified properties that fit within our strategy and values to find good yielding opportunities with potential upside. Each property will be unique with its location and pricing, but must fit within one our values and guidelines before offering to investors –
- Security and debt servicing capacity for loans
- WALT of 5 years minimum or less to add value
- Minimum thresholds return for investors
We have then paid deposits on these properties to lock in for ourselves and investors, the fund is now established to complete the purchase and will be managed by Net Funds in line with the fund and overall exit strategy.
We have identified two great opportunities based in Christchurch being 19 Klondyke and 322 Lincoln Road. The cash yield on these provide attractive monthly returns to investors alongside good upside (as we bought under market value)
Structure
Limited liability means investors, as Limited Partners, are only liable to the extent of their capital contributions (funds invested), plus any other obligations expressed in the Limited Partnership Agreement.
The Partnership will be established by Net Funds Limited before investor funds being received with Units in the Partnership to be issued to investors in proportion to the level of funds contributed following settlement of the Property.
Management of the Property will be governed by the General Partner which will be a limited liability company set up specifically to govern this investment opportunity. The General Partner will be liable for all of the debts and liabilities of the Partnership and will provide the corporate governance to run the investment professionally and profitably.
Exit Strategy
The exit strategy is to sell to either –.
- A third party (Market Sale)
- Sale to Net Property Fund (Retail Fund)
Net Property Fund
Net property fund is a retail fund, intended to initially be listed on Catalist Public Market, which will allow retail and wholesale investors to invest in a diversified portfolio of commercial property. The fund is to be managed by Net Funds and subject to formal due diligence and board approval will look to acquire the properties for its retail offer at a minimum cap rate of 6.50%.
OCR Drop(s)
The Official Cash Rate (OCR) and cap rates for commercial property share an inverse relationship. Typically, when the OCR is lowered, borrowing costs decrease, boosting property values and compressing cap rates. Conversely, when the OCR rises, cap rates tend to expand as financing becomes costlier, leading to downward pressure on valuations. For 2025 and 2026, with the OCR stabilising around 3.75%, cap rates are expected to remain moderately elevated, reflecting a balanced monetary policy. However, ongoing economic conditions and inflationary pressures could lead to slight fluctuations in both the OCR and cap rates, influencing property market dynamics accordingly.
