Investment deal spotlight: Redcliffe, QLD

October 18, 2022

October 18, 2022

October 18, 2022

Investment deal spotlight: Redcliffe, QLD

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How a Boutique Complex in Queensland Provided the Perfect Location for Investors.

Investment Deal Summary

Suburb: Redcliffe, QLD
Asset Class: Construction
Property Value: $6.04 million  
LVR: 65%
Development Completion: August 2022
Number of investors: 46
Average investment amount: $265K
Coupon Rate: 7.30%

The Opportunity

Located centrally in Redcliffe (Queensland) is this 14 boutique apartments and ground-level retail space development. Aptly named ‘Sunset on Violet’, the complex provides unrivalled views of Moreton Bay. Within minutes’ walk of Redcliffe Jetty and Redcliffe Parade, the boutique complex provided a great opportunity for AltX investors to invest in the Moreton Bay region.

The Build

For this Redcliffe development in Queensland, we assisted the borrower at the land purchase phase of the development. Construction took place at a time when the area was suffering from heavy rainfall. This along with trade shortages and Covid-19 slightly delayed completion.  The project team was able to effectively manage the credit risk of the deal through proactive check-ins with local agents, working closely with the developer on pre-sales strategies and on any latent conditions related to the project. The flexible loan structures provided additional equity buffer to cater for any increase in building costs and interest rates.

The Result 

The developer was able to see the project through to the finish line in August 2022. From inception to completion, AltX was there at every step of the way to provide regular updates and reports to the 46 investors. We were well-positioned to support investors through this deal, drawing upon our team’s extensive experience in financial services, real estate and lending industries to tackle challenges and take advantage of the changing environment in the construction industry.

This deal is similar to those that have been included in the recently launched Assetline Senior Debt Construction Fund No. 4 (ALCF4) managed debt fund. ALCF4 offers diversified exposure to short duration 1st mortgage-backed construction loans. 

Investment Deal Summary

Suburb: Redcliffe, QLD
Asset Class: Construction
Property Value: $6.04 million  
LVR: 65%
Development Completion: August 2022
Number of investors: 46
Average investment amount: $265K
Coupon Rate: 7.30%

The Opportunity

Located centrally in Redcliffe (Queensland) is this 14 boutique apartments and ground-level retail space development. Aptly named ‘Sunset on Violet’, the complex provides unrivalled views of Moreton Bay. Within minutes’ walk of Redcliffe Jetty and Redcliffe Parade, the boutique complex provided a great opportunity for AltX investors to invest in the Moreton Bay region.

The Build

For this Redcliffe development in Queensland, we assisted the borrower at the land purchase phase of the development. Construction took place at a time when the area was suffering from heavy rainfall. This along with trade shortages and Covid-19 slightly delayed completion.  The project team was able to effectively manage the credit risk of the deal through proactive check-ins with local agents, working closely with the developer on pre-sales strategies and on any latent conditions related to the project. The flexible loan structures provided additional equity buffer to cater for any increase in building costs and interest rates.

The Result 

The developer was able to see the project through to the finish line in August 2022. From inception to completion, AltX was there at every step of the way to provide regular updates and reports to the 46 investors. We were well-positioned to support investors through this deal, drawing upon our team’s extensive experience in financial services, real estate and lending industries to tackle challenges and take advantage of the changing environment in the construction industry.

This deal is similar to those that have been included in the recently launched Assetline Senior Debt Construction Fund No. 4 (ALCF4) managed debt fund. ALCF4 offers diversified exposure to short duration 1st mortgage-backed construction loans. 

Investment Deal Summary

Suburb: Redcliffe, QLD
Asset Class: Construction
Property Value: $6.04 million  
LVR: 65%
Development Completion: August 2022
Number of investors: 46
Average investment amount: $265K
Coupon Rate: 7.30%

The Opportunity

Located centrally in Redcliffe (Queensland) is this 14 boutique apartments and ground-level retail space development. Aptly named ‘Sunset on Violet’, the complex provides unrivalled views of Moreton Bay. Within minutes’ walk of Redcliffe Jetty and Redcliffe Parade, the boutique complex provided a great opportunity for AltX investors to invest in the Moreton Bay region.

The Build

For this Redcliffe development in Queensland, we assisted the borrower at the land purchase phase of the development. Construction took place at a time when the area was suffering from heavy rainfall. This along with trade shortages and Covid-19 slightly delayed completion.  The project team was able to effectively manage the credit risk of the deal through proactive check-ins with local agents, working closely with the developer on pre-sales strategies and on any latent conditions related to the project. The flexible loan structures provided additional equity buffer to cater for any increase in building costs and interest rates.

The Result 

The developer was able to see the project through to the finish line in August 2022. From inception to completion, AltX was there at every step of the way to provide regular updates and reports to the 46 investors. We were well-positioned to support investors through this deal, drawing upon our team’s extensive experience in financial services, real estate and lending industries to tackle challenges and take advantage of the changing environment in the construction industry.

This deal is similar to those that have been included in the recently launched Assetline Senior Debt Construction Fund No. 4 (ALCF4) managed debt fund. ALCF4 offers diversified exposure to short duration 1st mortgage-backed construction loans. 

Investment Deal Summary

Suburb: Redcliffe, QLD
Asset Class: Construction
Property Value: $6.04 million  
LVR: 65%
Development Completion: August 2022
Number of investors: 46
Average investment amount: $265K
Coupon Rate: 7.30%

The Opportunity

Located centrally in Redcliffe (Queensland) is this 14 boutique apartments and ground-level retail space development. Aptly named ‘Sunset on Violet’, the complex provides unrivalled views of Moreton Bay. Within minutes’ walk of Redcliffe Jetty and Redcliffe Parade, the boutique complex provided a great opportunity for AltX investors to invest in the Moreton Bay region.

The Build

For this Redcliffe development in Queensland, we assisted the borrower at the land purchase phase of the development. Construction took place at a time when the area was suffering from heavy rainfall. This along with trade shortages and Covid-19 slightly delayed completion.  The project team was able to effectively manage the credit risk of the deal through proactive check-ins with local agents, working closely with the developer on pre-sales strategies and on any latent conditions related to the project. The flexible loan structures provided additional equity buffer to cater for any increase in building costs and interest rates.

The Result 

The developer was able to see the project through to the finish line in August 2022. From inception to completion, AltX was there at every step of the way to provide regular updates and reports to the 46 investors. We were well-positioned to support investors through this deal, drawing upon our team’s extensive experience in financial services, real estate and lending industries to tackle challenges and take advantage of the changing environment in the construction industry.

This deal is similar to those that have been included in the recently launched Assetline Senior Debt Construction Fund No. 4 (ALCF4) managed debt fund. ALCF4 offers diversified exposure to short duration 1st mortgage-backed construction loans. 

Get in Touch

AltX is an online investment platform offering alternative income – generating investments, delivered seamlessly.

Disclaimers

AltX Pty Ltd (ACN: 618 796 115, AR no: 1270087), is an authorised representative of AltX Funds Management Pty Ltd (ACN: 113 502 604, AFSL no: 291314). The information on this website has been prepared for accredited wholesale clients – only who are interested in learning about the different products they can access via AltX. This information is factual information only. Any displays of potential investments are for example purposes only, and may not actually be available to investors. It does not take into account any of your personal objectives, circumstances or needs and does not constitute financial advice. Choosing an investment is an important decision and, before making any investment decision, you should consider obtaining financial advice, always read the disclosure documents as listed against every deal on the AltX investment platform and understand the associated risks as explained as on the AltX investment platform. 

Past performance is not an indicator of future performance. Expected or forecasted returns may not reflect actual performance. Any displays of potential investment opportunities are for sample purposes only, and may not actually be available to investors.

The information on this website does not constitute an offer to sell securities or a solicitation of an offer to buy securities. Further, none of the information contained on this website is a recommendation to invest in any securities.

AltX Pty Ltd is not a bank and is not regulated by the Australian Prudential Regulation Authority, and investing in AltX products is not the same as depositing money in a term deposit offered by a bank.

© 2024

AltX Funds Management Pty Ltd

AltX is an online investment platform offering alternative income – generating investments, delivered seamlessly.

Disclaimers

AltX Pty Ltd (ACN: 618 796 115, AR no: 1270087), is an authorised representative of AltX Funds Management Pty Ltd (ACN: 113 502 604, AFSL no: 291314). The information on this website has been prepared for accredited wholesale clients – only who are interested in learning about the different products they can access via AltX. This information is factual information only. Any displays of potential investments are for example purposes only, and may not actually be available to investors. It does not take into account any of your personal objectives, circumstances or needs and does not constitute financial advice. Choosing an investment is an important decision and, before making any investment decision, you should consider obtaining financial advice, always read the disclosure documents as listed against every deal on the AltX investment platform and understand the associated risks as explained as on the AltX investment platform. 

Past performance is not an indicator of future performance. Expected or forecasted returns may not reflect actual performance. Any displays of potential investment opportunities are for sample purposes only, and may not actually be available to investors.

The information on this website does not constitute an offer to sell securities or a solicitation of an offer to buy securities. Further, none of the information contained on this website is a recommendation to invest in any securities.

AltX Pty Ltd is not a bank and is not regulated by the Australian Prudential Regulation Authority, and investing in AltX products is not the same as depositing money in a term deposit offered by a bank.

© 2024

AltX Funds Management Pty Ltd

AltX is an online investment platform offering alternative income – generating investments, delivered seamlessly.

Disclaimers

AltX Pty Ltd (ACN: 618 796 115, AR no: 1270087), is an authorised representative of AltX Funds Management Pty Ltd (ACN: 113 502 604, AFSL no: 291314). The information on this website has been prepared for accredited wholesale clients – only who are interested in learning about the different products they can access via AltX. This information is factual information only. Any displays of potential investments are for example purposes only, and may not actually be available to investors. It does not take into account any of your personal objectives, circumstances or needs and does not constitute financial advice. Choosing an investment is an important decision and, before making any investment decision, you should consider obtaining financial advice, always read the disclosure documents as listed against every deal on the AltX investment platform and understand the associated risks as explained as on the AltX investment platform. 

Past performance is not an indicator of future performance. Expected or forecasted returns may not reflect actual performance. Any displays of potential investment opportunities are for sample purposes only, and may not actually be available to investors.

The information on this website does not constitute an offer to sell securities or a solicitation of an offer to buy securities. Further, none of the information contained on this website is a recommendation to invest in any securities.

AltX Pty Ltd is not a bank and is not regulated by the Australian Prudential Regulation Authority, and investing in AltX products is not the same as depositing money in a term deposit offered by a bank.

© 2024

AltX Funds Management Pty Ltd

AltX is an online investment platform offering alternative income – generating investments, delivered seamlessly.

Disclaimers

AltX Pty Ltd (ACN: 618 796 115, AR no: 1270087), is an authorised representative of AltX Funds Management Pty Ltd (ACN: 113 502 604, AFSL no: 291314). The information on this website has been prepared for accredited wholesale clients – only who are interested in learning about the different products they can access via AltX. This information is factual information only. Any displays of potential investments are for example purposes only, and may not actually be available to investors. It does not take into account any of your personal objectives, circumstances or needs and does not constitute financial advice. Choosing an investment is an important decision and, before making any investment decision, you should consider obtaining financial advice, always read the disclosure documents as listed against every deal on the AltX investment platform and understand the associated risks as explained as on the AltX investment platform. 

Past performance is not an indicator of future performance. Expected or forecasted returns may not reflect actual performance. Any displays of potential investment opportunities are for sample purposes only, and may not actually be available to investors.

The information on this website does not constitute an offer to sell securities or a solicitation of an offer to buy securities. Further, none of the information contained on this website is a recommendation to invest in any securities.

AltX Pty Ltd is not a bank and is not regulated by the Australian Prudential Regulation Authority, and investing in AltX products is not the same as depositing money in a term deposit offered by a bank.

© 2024

AltX Funds Management Pty Ltd