South Kingsville, VIC

Residential Development Site - Townhouses

The purpose of the Loan was to refinance a previous Balmain Discrete Mortgage Income Trusts (BDMIT) sub-trust known as the Stephenson Street No.4 Sub-Trust. The Borrower conducted the previous sub-trust in a prompt and punctual manner.

The Loan is secured by first registered mortgage over a 21,556m² Planning Permit approved residential townhouse development site located in South Kingsville, VIC, approximately 7.5km south west of the Melbourne CBD.

In February 2024 a Planning Permit was issued by Hobsons Bay City Council allowing for redevelopment of the site with 90 townhouses and a residential ‘superlot’

The Security Property is close to public transport, parks, educational facilities, and retail amenities. Newport Train Station and shopping village are only 1.6km to the north, while Spotswood Station and local shops are located approximately 1.8km to the south. Additionally, Newport Lake reserve is situated around 500m to the southwest. Furthermore, numerous early learning, primary, and secondary educational institutions are within a 2km radius.

The Security Property is owned by a Special Purpose Vehicle (SPV) established specifically for the acquisition of the purchase. The Borrower Group which controls the SPV is an established specialist finance group with specific expertise in property development and funds management.

The Borrower Group is well known to the Manager who has provided multiple loans to the group.  All facilities have been conducted in a prompt and punctual manner

• The Loan was advanced at a Loan to Value Ratio of 65%.
• The Target Return is 9.20% p.a., net of fees and expenses, and is paid to Investors monthly in arrears.
• The Loan is supported by corporate guarantees and a General Security Agreement over the Borrower.
• Interest for the initial 3 months of the Loan Term has been lodged on deposit with the Manager. The Manager has assessed the financial position of the Borrower and Guarantor as part of its credit approval process and is satisfied that they are financially capable to service a loan of this nature.
• The Loan Term is 6 months, subject to early or late repayment, from 30 May 2024 to 29 November 2024.

Investment Details

• Target Return

  9.2% net

• Loan to Value Ratio

  65%

• Term

  2 Months

Full details, unique to each investment, are provided to Investors in a Supplementary PDS. These detailed Supplementary PDS’s are only available to Investors in Balmain Private.

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