Sunshine

Project Location

The subject property is located in a central location in Sunshine, which is one of Melbourne’s western suburbs located approximately 14km west of Melbourne Central Business District (CBD). It has good access to major arterial roads and freeways, allowing direct vehicular access to the Melbourne CBD. The surrounding developments provide for a full range of retail amenities in varying size and profile (e.g. Coles, Woolworths), commercial and public transport facilities including the Sunshine Train Station, and a mix of public and private education institutions (e.g. Victoria University).

Project Development

The subject property is a six-storey building, comprising 16 retail premises, 5 offices, 56 apartments and 45 car parking spaces. 19 residential units have been pre-sold and 10 of the 16 retail premises have been successfully pre-leased, with key tenants including a pharmacy, medical centre and national brand franchises. Office pre-leases are expected to be achieved closer to the completion date and would likely have positive prospects due to the attractive location and amenities.

Project Loan Details

The purpose of this loan is to complete construction works and the Borrower intends to repay the loan via net sales proceeds from apartment sales, in isolation or in combination from refinance proceeds from the investment loan. The Borrower intends to lease and hold all the retail premises and office suites whilst selling all apartments through construction delivery.  The contracted builder has more than 25 years of experience in the property development and construction industry, and has participated in and delivered various residential, commercial, and retail sectors. Construction is 66% complete and is ahead of time and on budget.