Peakhurst Inn
Greenwich Aged Care
Property
Hospitality
Aged Care
Location
Peakhurst, Sydney
Greenwich, Sydney
Loan Size
$25 million
$14 million
Peak LVR
59%
65% (First Mortgage Stage)
Term
18 months
28 months
Investment Thesis
- Strong conviction on gaming revenues, with significant potential for gaming revenue growth within the asset
- Experienced partner and operator
- Strong risk adjusted returns
- Lack of high-end luxury / quality aged care accommodation providers
- Strong conviction on downsizer market given significant wealth generation in the Sydney market
- Borrower obtained DA approval for the site, early works Construction Certificate and the relevant operating licenses
RW Capital Value-Add
- RW Capital leveraged its knowledge and relationships in the pubs/hotels asset class to create debt investment opportunities- Stress tested valuation assumptions by assessing the borrowers strategy to increase yield versus internal precedents
- Facility structure tailored to suit the borrowers requirements. Facility was structured as a convertible first mortgage facility which converted into a mezzanine debt upon the start of construction and again at the commencement of operations (i.e. total of 3 stages)
Peakhurst Inn
Property
Hospitality
Location
Peakhurst, Sydney
Loan Size
$25 million
Peak LVR
59%
Term
18 months
Investment Thesis
- Strong conviction on gaming revenues, with significant potential for gaming revenue growth within the asset
- Experienced partner and operator
- Strong risk adjusted returns
RW Capital Value-Add
- RW Capital leveraged its knowledge and relationships in the pubs/hotels asset class to create debt investment opportunities- Stress tested valuation assumptions by assessing the borrowers strategy to increase yield versus internal precedents
Greenwich Aged Care
Property
Aged Care
Location
Greenwich, Sydney
Loan Size
$14 million
Peak LVR
65% (First Mortgage Stage)
Term
28 months
Investment Thesis
- Lack of high-end luxury / quality aged care accommodation providers
- Strong conviction on downsizer market given significant wealth generation in the Sydney market
- Borrower obtained DA approval for the site, early works Construction Certificate and the relevant operating licenses
RW Capital Value-Add
- Facility structure tailored to suit the borrowers requirements. Facility was structured as a convertible first mortgage facility which converted into a mezzanine debt upon the start of construction and again at the commencement of operations (i.e. total of 3 stages)