Newly Completed Retail Property
The Loan is secured by a first registered mortgage over a recently completed retail complex comprising fourteen (14) strata title retail shops in Epping, VIC, approximately 26kms north of Melbourne’s CBD.
The purpose of the loan was to refinance a Balmain funded construction loan used to complete the Security Property. Construction has now achieved Occupancy Permit. 13 of the 14 units have been leased representing an 87% occupancy. All leases have an initial term of between 5 to 10 years which provides for a Weighted Average Lease Expiry (WALE) of 7.74 years.
The Borrower Group is an experienced property investor and developer in South-Eastern Australia. The Group mainly focuses on construction of retail and commercial developments.
- The Loan was advanced at a Loan to Value Ratio of 67%.
- The Target Return is 7.30% p.a., net of fees and expenses, and is paid to Investors monthly in arrears.
- The Loan is supported by multiple joint and several guarantees and a General Security Agreement over the Borrower.
- The Loan Term is 12 months, subject to early or late repayment, from 12 November 2018 to 11 November 2019.
Target Return7.3% net
Loan to Value Ratio67%
|Security||1st registered mortgage, multiple joint and several guarantees and a General Security Agreement over the Borrower|
|Asset||Recently completed fourteen (14) strata titled retail units|
Full details of each investment are provided to investors in a Supplementary PDS unique to each particular Sub-Trust.