Investor FAQ

Q: Are the Income Funds or project specific funds geared?
A: No, the funds are not geared.

Q: How will a loan by the fund be secured?
A: Generally, the Fund will take a second mortgage over the Project.

Q: Can a Self-Managed Superannuation Fund invest in a Fund:
A: A Self-Managed Superannuation Fund (SMSF) can invest in a Fund if the SMSF complies with the definition of a Wholesale Investor under section 761G (7) (c) of the Corporations Act.

Q: What is the minimum investment?
A: The minimum investment is A$250,000.

Q: What is the notice period for a call?
A: The notice period for a call is 14 days.

Q: What is the term of the investment?

A: Generally, the loan will be no longer than 24 months.

Q: What returns can I expect?

A: The aim of the Manager is to deliver returns in excess of 17.5% p.a net of all fees. Actual returns will vary with prevailing market rates for secured Mezzanine funding and on a project by project basis.

Q: What are the fees?

A: Generally, for a single project fund, the Manager will receive 1.0% of the Capital Commitment plus GST paid on Application.

Q: When can I expect my interest income?

A: All interest received is distributed by the Manager quarterly and at the end of each Financial Year. Income not actually received is accrued and a statement is issued annually to investors showing interest earned to date. At maturity of each loan (usually 18-24 months) capital plus interest is received by the Manager and then distributed to investors on pro-rata entitlement to their original investment.

Q: What is the purpose of a partial Call of capital when I make my investment?

A: The two part CALL on investors to subscribe committed capital enables investors to hold on their capital until is absolutely required to be drawn by the project as the development proceeds and total project cost escalate. This so called “Just in time” funding enables the Manager to optimise investor returns.

Q: Is there a Trustee?

A: The Manager is the Trustee:
The primary holding Bank Account for each single project investment is managed by external signatories with strict separation of duties protocol who form part the independent Conflicts Committee

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