7 year High Yield Loan Note

Objectives of this 12% Fixed Rate Secured Loan Note

The Property Group issuing this high yielding Loan Note is focused on development projects in both the Build to Rent and the residential sectors and the Directors of this high profile company hope to raise up to £50 million through the issue of this Loan Note. The money raised will be used to facilitate the company’s pipeline projects and new development opportunities.

Information for Investors

With any investment of this type, where the success of the investment will be dependant on the performance of the company you have invested in, It is vital that the management of that company has the necessary experience backed by a proven track record of successfully completing their projects profitably and on time and be able to demonstrate consistency of achievement in its area of operation.

Since its inception in 2006, this high profile group of companies has successfully developed property projects and operated businesses within the property investment and development finance sector. The Group’s management team has decades of experience within the property and financial sectors.

Since it inception, this Group has quickly become one of the fastest growing construction and development companies in the North East of England with over 200 homes, of an exceptionally high standard, under construction.

Previously issued Loan Notes

Since 2012, £50m has already been raised under the groups Loan Note program and to date, they have successfully made all interest payments and returns of capital payments, on time.

Security Provision

This Loan Note is asset backed and supported by inter-company guarantees. In addition to this security, should anything untoward affect the Group, the trustees will seize all available assets and use these to provide security to the investors, by distribution of these assets to investors, to cover their investment in line with powers stated in the Security Trust Deed.

Asset Value

As of May 2019 the certified Gross Asset Value retained in the Group was £112m with a net asset value of £68.68m.

Future Buy to Rent Market Potential

Over the last ten years, the number of people choosing to rent their home, as opposed to buying their property, has doubled. Today, approximately 20 percent of UK households and as high as 30 percent in London, are opting to rent their home from private landlords. Research suggests that as high as one in three people who were born between the early 1980s and 2000s, will stay in private renting beyond their retirement age and this is a trend that s likely to continue.

It is now estimated that the Build to Rent Sector could drive property investment to around £70bn by 2022, with the potential to build for rent by 2030 to reach around 240,000 homes.

It is against this background that that this company is currently on target to increase its annual turnover to around £400m and aims for this to reach £3bn within 3 years.

Who is this 12% Fixed Rate Secured Loan Note aimed at ?

This Loan Note is aimed at direct investment by institutional investors, professional investors, sophisticated and high net worth individuals, companies and restricted investors. Where individuals wish to take up this offer but do not conform with the above investor types, they should consult with their financial adviser on the suitability of them investing in this type of Loan Note.

At a Glance - Key features of this 12% Fixed Rate Secured Loan Note:

Minimum Investment: £25,000
Income: interest is paid annually, 7 days after the anniversary of the start of the loan.
Basic Interest rate: 12% per annum gross of the balance of loan to include any compound sums.
Annual Bonus payments: Investors who retain this investment will be rewarded with annual bonus payments, in addition to the fixed 12% per annum return on their investment. See table below:

Years invested	Standard Rate	Bonus Rate	Total Annual Rate
1	12%	0%	12%
2	12%	3%	15%
3	12%	4%	16%
4	12%	5%	17%
5	12%	6%	18%
6	12%	8%	20%
7	12%	10%	22%

Term: The Loan Note will mature after 7 years from the date of investment, unless the investor chooses to exit by providing 30 days’ notice prior to each anniversary of the investment date.
Date for repayment of invested capital: 7 years from funding date (receipt of funds) if the Loan Note is held for the full term.

General Information for Investors

The following documents which fully explain the terms and conditions applicable to the loan note as well as providing information on the issuing company, will be automatically emailed to you immediately after completing the enquiry form shown below.

Product Overview
Project Portfolio
Trustees Fact Sheet
7 Year Loan Note Instrument
Group Asset Statement

Once you have read these documents and understood the terms and conditions of the Loan Note and wish to proceed, let us know and we will issue you with the short application forms for you to complete and return to us.

Request more information on loan notes

Important Information

Investors wishing to Invest in this Loan Note must make their own assessment of the risks involved and must not solely rely on the information provided with this offer, which although provided in good faith must be considered as for general guidance. This product is not regulated by the financial conduct authority (FCA) and therefore anyone investing in this Loan Note, do so at their own risk. For these reasons, unless you fall into one of the categories listed below, you should seek professional guidance before making an application.

A high net worth investor who understands the risks and is only investing a portion of their funds, that in the event of loss would not result in financial hardship.
You are a self certified sophisticated investor who is fully aware of the nature and risks involved with this type of investment.
You are a qualified financial adviser with experience in this type of product.