P1 FUND
THE PE CAPITAL P1 FUND
Investors
Australian wholesale property investors have a range of options to
choose from, including direct property, REIT’s, asset specific funds and
property syndicates. The PE Capital P1 Fund is an active, diversified,
alternative asset fund which provides access for investors to PE
Capital’s unique suite of mixed use commercial property development
projects.
Risks
The core investment strategy of the P1 Fund is to engage in lending funds to PE Capital’s
property development projects. The P1 Fund charges a premium coupon rate for this lending
which is passed on to P1 Fund unit holders in the form of distributions.
The P1 Fund is actively managed. Investments are spread across PE Capital’s projects, at
both the pre and post Development Approval (DA) stage. The funds are deployed to finance
the deposits used to secure the projects plus soft costs, including development
management and consultant fees. Funds may also be used to settle land acquisitions,
where required. Each project is held in a separate Special Purpose Vehicle (SPV) which is in
a standalone unit trust structure.
The Investment Manager (PE Capital Funds Management Ltd) carefully assesses all
investment’s to ensure the opportunity meets the Fund’s strict criteria. The criteria
endeavours to qualify the feasibility of the investment and minimise risks. The Investment
Manager’s Investment Committee is required to review and sign off on all projects prior to
any investor funds being committed. Investor funds are not used to pay due diligence costs.
All due diligence costs are funded by PE Capital.
The PE Capital property teams mandate is to develop quality mixed use commercial
projects in Australian metropolitan and regional areas. These include mixed use commercial
such as service stations, fast food, major fast food, convenience stores and auto
carwashes, medical centres, childcare centres, aged care facilities and major retail
including liquor.
Features and Benefits
Medium risk
Returns
Liquidity
Suitability
A rating based on the prescribed
“standard risk measure”.
The fund targets a higher rate of return and allows you to diversify investments across
a range of PE Capital projects. The fund can be used in an SMSF or as a stand alone
investment and seeks to provide regular six monthly distributions or reinvestment.
All investments carry risks, including that the value of investments may vary,
future returns may differ from past returns, and your capital is not guaranteed.
To understand the funds risks better, please refer to the IM.
APIR Code
TBA
ARSN
TBA
Fund Inception Date
1st July 2016
Asset Class
Property Fund
Target Returns
Investment Manager
Property funds are generally illiquid and investors
should not expect to be able to make withdrawals in
the first 2 years of investment. However, subject to
these restrictions, the Investment Manager will seek
to assist investors who wish to withdraw funds.
One Investment Group Ltd
Custodian
One Investment Group Ltd
Withdrawals
Refer IM
Distributions
6 Monthly, 31st December, and 30th June
Reinvestment
Unit Pricing / Valuations
Minimum Investment
We calculate and accrue interest daily and pay
distributions half yearly.
Registered
The fund is currently an unregistered managed
investment scheme.
PE CAPITAL IS AN AUSTRALIAN
ALTERNATIVE ASSET MANAGER
FOCUSED ON PROPERTY AND
ENTERPRISE INVESTMENTS.
Yes
Daily
$50,000
Direct Debit
NA
Establishment Fee
Nil
Contribution Fee
Nil
Withdrawal Fee
Nil
Termination Fee
Nil
1.5375% p.a. (including GST)
Administration Fee
Nil
Manager Performance Fee
Nil
Buy/Sell Spread
Expense Recovery Fee
Investments
Suitable for sophisticated and professional investors,
especially SMSF’s.
Income
PE Capital Funds Management Ltd
Responsible Entity
Management Fee
Forecast return of 18% p.a. (net of fees)
18% p.a.
Risk
Reporting
0.5%
0.5125% (including GST)
Funds are invested in both the pre DA and post DA
stages in PE Capital’s mixed use commercial
property projects
Investment risk could include delays in repayments
and redemptions, fluctuations in income and the value
of capital invested. Refer to IM for potential risks.
Application Confirmation, Distribution Statements,
Annual Tax Statements
We have an experienced team of proven industry professionals
that provides investors with access to:
A range of high quality and unique alternative investments
Superior returns across a range of funds
Robust investment management methodologies to reduce risk
Over the past several years, rapid developments in the global economic environment have pushed asset management to the forefront
of social and economic change. The need for increased and sustainable long term investment returns are an important part of this
change and has propelled alternative asset management to centre stage.
P1 FUND
INVESTMENT AND PROPERTY PROCESS
(EXAMPLE ONLY)
Land Settlement
(Property revalued)
PE PROCESS
D.A.
granted
Pay $350k
deposit
$40k p.m.
Soft costs
Construction
completed
Construction
commences
JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC
INVESTOR
Raise $1.5 m pre D.A. equity
PROPERTY FUNDING
(EXAMPLE ONLY)
COSTS
$17.5 M
Construction, consultants, contingency,
Investor coupon returns
$21.0 M
TOTAL COSTS
$1.5 M
Pre D.A. equity
$17.5 M
Bank debt (60% of end project value)
$2.0 M
Post D.A. equity (mezzanine finance)
$21.0 M
TOTAL FUNDING
SALES
(Rent $1.9 M @ 7% yield)
$27.0 M
PE CAPITAL
LTD
INVESTOR
$
FEES ($)
Management fee
2%p.a. of FUM
P FUND
DISTRIBUTIONS
Site purchase
DISTRIBUTIONS
FUNDING
$3.5 M
FEE AND
DISTRIBUTION FLOW
FEES ($)
$
SPV
Development and
Project mgmt
(3% of Gross
Realisable Value
(GRV) over life of
project (24 months)
TOTAL SALES
PEC FUNDS
MANAGEMENT
LTD
PEC
PORTFOLIO
LTD
PE Capital Funds Management Ltd is a Corporate Authorised Representative 001245743 of One Investment Administration Ltd. (ACN 072 899 060) and AFSL 225064
CONTACT US TODAY
Level 7, 2 Russell Street
Melbourne Australia 3000
Call
61 3 9081 0633
E [email protected]
W www.pecapital.com.au
The information contained within this Summary as been prepared in good faith and due care by PE Capital and does not take in to account what you currently have, or what you want and
need for your financial future. Any projections contained in the report thereafter represent best estimates only and may be based on some assumptions.
The information contained herein is supplied as general advice without any representation as to its truth or accuracy. All interested parties should make their own enquiries to satisfy
themselves in all aspects and obtain their own independent advice in order to verify any of the information. All stated dimensions, and areas are approximate.