Thornton (Stage 3B) Development Fund

Property Description

The Fund invested $6.77m of preferred equity into the fourth stage of the Thornton Central residential apartment project, located in Penrith, NSW. The project, comprised 102 residential apartments, with an end gross value of $57.4m, which formed part of a larger urban renewal precinct known as Thornton with a mix of low-medium density housing, open space, recreational facilities, and proximity to the Penrith train station and Penrith CBD.

Investment Rationale

The Fund sought to provide Investors with exposure to a high-quality residential project with strong levels of pre-sales and a highly skilled delivery team (St Hilliers and First Point Projects). The contribution of preferred equity provided investors with a minimum priority return and the potential for additional returns from residual project profits.

Key Fund Stats

Fund StatusProject completed and Fund Closed
Project102 apartments – Stage 3B, Thornton Central
Fund Term19 months
Equity Raised$6.77m
Investment StructurePreferred Equity via Closed-End Unit Trust
Investor Return on Equity 30.0% (26.8% Forecast)
Investor Internal Rate of Return  18.7% p.a. (18.0% p.a. Forecast)