I came across and article in the latest Venture capital journal talking about a new residential property managed fund to be started next year. I've reproduced an extract below. I'm not making any recommendation that this will be a good, bad or indifferent fund. What I think is interesting is that the big boys are starting to hone in on the residential sector as ripe for consolidation, whether it is property management per www.run.com.au or this fund which is buying to let and then selling. As the securitisers of home loans find, payments on residential proeprty can provide a good income stream (altho I suspect rental payment streams will be slightly less reliable. But of course the huge spread means higher admin costs but lower risk I would have thought than a few large commercial tenants... I see they say they'll be the only fund doing this. I thought Peter Spann had a fund like this...which I understand hadn't quite performed to expectations... So it looks like the mum and dad landlords will have increased competition from the insto's... Cheers N.