Sydney Metro Fund

Transaction Summary

Investment Highlights

Company Overview

The Sydney Metro Fund (the Fund) is a pooled mortgage fund that offers Australian sophisticated investors the opportunity to gain exposure to a portfolio of loans.

The Fund offers Australian wholesale and professional investors the opportunity to gain exposure to a portfolio of loans comprised of:

Loans secured predominantly by registered first or second mortgages; and Loans to businesses that are not secured by real property Mortgages, will be secured by other forms of security, including general security agreements and directors’ guarantees.

Loans will only be made for use for commercial and business purposes and will not be made for consumer purposes.

The investment return objectives of the Fund are to provide investors with regular income distributions and a target average total return equal to the Reserve Bank of Australia cash rate plus 6.25% per annum (this includes both income and capital returns and is annualised after all fees and costs but before tax).

The Manager

The Fund is professionally managed by Sydney Metro Properties Pty Ltd, an independent investment manager with substantial experience managing a wide variety of property assets including, residential, commercial and industrial. The Manager also has substantial experience in the lending market place having secured and/or placed hundreds of millions in debt financing.

The Trustee

Recent Results

Investors

The fund currently (as at May 2024) has 12 investors with an average subscription of approx. $900k each invested. 

These investors include Self Managed Superannuation Funds as well as High Net Worth Personal Investors, and are all long term investors - some of whom choose to receive quarterly distributions and some of whom choose to roll over the distributions into their investments quarterly.

At present, the Fund is experiencing a high level of enquiries for potential loans – and are seeking further investment funds accordingly.

Products & Services

Stronger Returns with Regular Income

Sydney Metro Fund’s regular income-producing fund may be suitable for self-managed superannuation funds (SMSF) and self-directed investors who seek returns higher than they can expect in retail deposit investments. Sydney Metro Fund was created to service two growing markets and their distinct needs:

1. Businesses, that need tailored private debt financing;
2. Investors who are looking for fixed-interest investments, with yields greater than those available through term deposits and other retail offerings.

Sydney Metro Fund services both the borrowing and investment markets. It does this with an astute approach to business financing outside the Consumer Credit Code, and a structured investment facility with strong yields and low risk. It is intended that the Fund will distribute monthly, however, distributions are not guaranteed.

Transaction Overview

The Fund’s minimum investment is $200,000 and the manager only accepts Wholesale Investors as defined by s.7 of the Corporations Act. That means the Fund accepts investors who can invest at least AUD$500,000, and who meet the minimum asset requirement (AUD$2.5 million net assets) or income (AUD$250,000 of gross income for the last two financial years), or investors who fulfill the legislative definitions of a Professional Investor.

We urge investors to see their financial and taxation adviser before committing to any investment, and we ask prospective investors to read the Information Memorandum in full before making a decision.

The manager has the absolute discretion to accept investments of less than the minimum investment amount of A$200,000

Additional Information

Other Documents

Team

Management

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