Residential development site
The Loan is secured by first registered mortgages over 31 subdivided residential lots with an area of circa 6,086m² in Riverstone, NSW, approximately 38kms north-west of the Sydney CBD.
The subject site comprises a further 8 lots which the Borrower is in the process of acquiring and agreements have been entered into with the existing owners of the 8 lots to acquire these. The Borrower intends to seek DA approval to subdivide the existing subdivided site to allow for roads and services and a decrease in the number of lots from 39 to 32.
The purpose of the Loan was to refinance existing debt over the Security Properties and provide working capital to progress the proposed DA and acquire adjacent infill properties which will result in a contiguous development site.
The Borrower is part of a specialist property development group primarily operated in NSW with a net asset position of circa $75MM.
- The Loan was advanced at a Loan to Value Ratio of 54%.
- The Target Return is 7.45% p.a., net of fees and expenses, and is paid to Investors monthly in arrears.
- The Loan is supported by personal and corporate guarantees and a General Security Agreement over the Borrower.
- The Loan Term is 18 months, subject to early or late repayment, from 18 February 2019 to 17 August 2020.
Target Return7.45% net
Loan to Value Ratio54%
|Security||1st registered mortgages, personal and corporate guarantees and a General Security Agreement over the Borrower|
|Asset||Residential development site|
Full details of each investment are provided to investors in a Supplementary PDS unique to each particular Sub-Trust.