Altona North, VIC

Fully leased industrial property with future development potential

The Loan is secured by first registered mortgage over a fully leased industrial property with future development potential in Altona North, approximately 12km west of the Melbourne CBD.

The purpose of the Loan was to refinance a previous Balmain Discrete Mortgage Income Trusts (BDMIT) sub-trust known as the Blackshaws Road Sub-Trust. The Borrower conducted the previous sub-trust in a prompt and punctual manner.

The land forms part of the Altona North Comprehensive Development Plan (CDP) – Precinct 15, which is a planning framework identifying land for future residential and commercial development.

The Security Property is subject to six (6) executed leases, currently providing gross annual rental income. The annual net rental income from the Security Property derives an interest-coverage ratio (ICR) of 1.11x the annual interest on this Loan.

The Borrower is an experienced developer and asset management company with significant real estate holdings in Australia.

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 59%.
• The Target Return is 8.35% p.a., net of fees and expenses, and is paid to Investors monthly in arrears.
• The Loan is supported by joint and several guarantees and a General Security Agreement over the Borrower.
• Interest is to be paid by the Borrower monthly in advance. The Manager has assessed the financial position of the Borrower and Guarantors and is satisfied that they are financially capable to service a loan of this nature.
• The Loan Term is 24 months, subject to early or late repayment, from 4 May 2026 to 3 May 2028.

Investment Details

• Target Return

  8.35% net

• Loan to Value Ratio

  59%

• Term

  24 Months

• Minimum Initial Investment

  $10,000

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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