North Melbourne, VIC

Seven (7) completed residual residential apartments

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

This Loan is a residual stock loan secured by first registered mortgage over seven (7) residential apartments located within a newly completed mixed-used development in North Melbourne, VIC, approximately 3km north west of the Melbourne CBD.

The mixed-use development includes a Woolworths supermarket, BWS and various specialty shops. The residential component incorporates a podium, together with two (2) towers rising nine and fifteen levels, consisting of 293 total apartments.

The Security Property is located in an emerging precinct, with the immediate area featuring both residential and industrial buildings. Recreational areas and public transport are located in close proximity to the subject.

This Loan is a Residual Stock Facility whereby the Loan and LVR will reduce during the Loan Term from sales of the completed Security Properties. On completion of the sale of a Security Property, the Loan facility will be reduced by the agreed net sale proceeds and these funds will be returned to Investors.

The Borrower Group is a small syndicate of investors and established development group, specialising and focusing on mixed-use inner-city Melbourne developments.

The Borrower Group is well known to the Manager having completed multiple transactions over the past 5 years, and previous loans 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 8.95% 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 Specific Security Agreement over the Borrower.
• The Borrower lodged interest deemed as sufficient to service Loan payments during the Loan Term, on deposit with the Manager.
• The Loan Term is 12 months, subject to early or late repayment, from 8 September 2023 to 7 September 2024.

Investment Details

• Target Return

  8.95% net

• Loan to Value Ratio

  65%

• Term

  4 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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