Braddon, ACT

Future Commercial Development Site

The Loan is secured by first registered mortgage over an 8,732m² vacant development site located in Braddon, ACT, approximately 1.8km north east of the Canberra CBD.

The purpose of the Loan was to provide working capital for the Borrower Groups wider developments.

The Security Property is located at 21 Elder Street and is situated within Braddon', a former light industrial/service and trade area, which in the last decade has been redeveloped into one of Canberra’s most densely populated residential suburbs with office, boutique retail, entertainment, and restaurant precincts.

The site is zoned ‘Leisure and Accommodation – CZ6’ under the ACT planning scheme. The surrounding environment comprises of established and more recently constructed single and medium density housing developments, as well as heritage homes.

The Security Property is well located near services and amenities. Braddon Tennis Club, childcare centres, Ainslie School and Braddon Rugby League Park, the centre of excellence for the Canberra Raiders, are all in close proximity,

The Borrower Group is an active property developer with over 50 years’ experience in successful property development. The Group is a proven long-term Balmain client with a substantial net asset position invested in a diverse commercial and residential investment portfolio.

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 56%.
• The Target Return is 9.15% 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.
• Interest for the initial 12 months of the Loan Term has been lodged on deposit with the Manager.
• The Manager has assessed the financial position of the Borrower and Guarantors as part of its credit approval process and is satisfied that they are financially capable to service (pay interest) a Loan of this nature.
• The Loan Term is 18 months, subject to early or late repayment, from 29 September 2023 to 28 March 2025.

Investment Details

• Target Return

  9.15% net

• Loan to Value Ratio

  56%

• Term

  11 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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