Capital Prudential’s investment strategy continues to protect it from market fluctuations, including continued inflationary pressure and the resulting intervention by the RBA, which delivered a 150bp cash rate increase during the September quarter. Despite this, our risk mitigation process ensures a diverse portfolio of de-risked premium residential in-fill, commercial and industrial developments.
During the quarter, we conducted due diligence and secured sites in Queensland and South Australia, in addition to investigating the potential to secure sites at lower prices in a softening Melbourne market which we had previously considered as being overheated. We are also seeing the turning cycle affording us the ability to negotiate more favourable terms with builders for our upcoming developments.
In October, we are raising an additional $5.0m via our Secured Income Notes, to fund 2 high quality commercial developments entering our Fund in November:
– Medical centre
– Childcare centre
Both the medical centre and childcare centre are pre-leased on 10+ year terms to strong tenants. Construction of the medical and childcare centres will commence in Q1 2023. The leases commence following practical completion of construction.
Investment in Capital Prudential Secured Income Notes to support these developments is open to Wholesale Investors as defined by the Corporations Act (Cth) 2001 at the following interest rates:
10% p.a. (3 years fixed), 9% p.a. (2 years fixed) and 8% p.a. (1 year fixed).
We look forward to the continued support of our current investors and invite interested wholesale investors to contact us.
Sam Moore
Managing Director
Another Industry Expert Joins Our Team
Capital Prudential, the Fund Manager of the Diversified Development Fund has recently appointed the following experts to our team.
Stephen Bates – Senior Development Manager
Stephen is a highly experienced and passionate property developer. Stephen previously worked for Westpac Banking Corporation before moving into the property development industry. He has experience in residential and commercial developments, including large scale master planned developments, residential, medium density, hospitality, and commercial. Stephen is currently studying a Master of Project Management degree.
New Capital Prudential Wholesale and Retail Funds coming soon.
Watch the below video to find out more.
CURRENT DEVELOPMENTS
Address: 23 Gertrude Street, Norwood, South Australia
Luxury Dwelling
Completion October 2022
Address: Park Street, Hyde Park, South Australia
Detached Dwelling
Completion November 2022
Address: Wooltana Avenue, Myrtle Bank, South Australia
2 Semi Detached Dwellings
Completion October 2022
Address: Stepney, South Australia
Otto Townhomes Stage One
21 Semi Detached Dwellings
Completion 2023
Address: Gawler Terrace, Walkerville, South Australia
3 Detached Townhouses
Completion June 2023
Address: Beulah Road, Norwood, South Australia
Commercial Office Building
Completion September 2023
Address: Coglin Street, Brompton, South Australia
20 Semi Detached Dwellings
Completion February 2024
Address: Watson Avenue, Rose Park, South Australia
5 Detached Dwellings
Completion September 2024
Address: Victoria Terrace, Rose Park, South Australia
12 Apartments
Completion September 2024
Address: Stuart Highway, Stuart Park, Northern Territory
Service Station Plus Fast Food
Completion December 2022
Address: Wooltana Avenue, Myrtle Bank, South Australia (adjacent to existing development)
2 Detached Dwellings
Completion 2023
Address: Burns Street, Byron Bay, New South Whales
2 Semi Detached Dwellings
Completion 2023
Address: Ruskin Street, Byron Bay, New South Wales
Luxury Dwelling
Completion 2023
UPCOMING DEVELOPMENTS
Address: Stepney, South Australia
Otto Townhomes Stage Two
38 Semi Detached Dwellings
Address: Maryvale Road, Athelstone, South Australia
Medical Centre
Address: Maryvale Road, Athelstone, South Australia
Childcare Centre
Address: Wyandra Street, Noosa Heads, Queensland
2 Semi Detached Dwellings
Address: Delorme Street, Noosa Heads, Queensland
2 Semi Detached Dwellings
Address: Maddington Road, Maddington, Western Australia
15,000m2 Industrial
Address: Woodland Drive, Peregian, Queensland
Commercial
RECENTLY COMPLETED DEVELOPMENTS
Address: 21 Gertrude Street, Norwood, South Australia
Luxury Dwelling
Completed September 2022
Address: Anglesey Avenue, St Georges, South Australia
Detached Dwelling
Completed October 2022
Address: Anglesey Avenue, St Georges, South Australia
2 Semi Detached Dwellings
Completed 2021
Address: Grandview Grove, Dulwich, South Australia
2 Semi Detached Dwellings
Completed 2021
Address: Inverloch Avenue, Torrens Park, South Australia
2 Semi Detached Dwellings
Completed 2021
DISCLAIMER: The Secured Income Notes detailed in this update are issued by Capital Prudential Diversified Development Fund Pty Ltd (ACN636 283 219) (CPDDF) as trustee of the Capital Prudential Diversified Development Fund (the Fund). CPDDF is a Corporate Authorised Representative of Capital Prudential Funds Management Pty Ltd (ACN 636 279 082, AFSL 524725) (CPFM). Capital Prudential Pty Ltd (ACN 634 875 273) (Capital Prudential) is the unitholder and Trust Manager of the Fund and is a Corporate Authorised Representative of CPFM. Capital Prudential is authorised by CPFM to provide advisory and dealing services in connection with the Fund to wholesale clients only.
The information has been only prepared for wholesale clients pursuant to section 761G of the Corporations Act (Cth) 2001 to provide general information only and Capital Prudential did not take into account the investment objectives, financial situation or particular needs of any person when preparing this information. It is not intended to take the place of professional advice and you should, before acting on this information, consider the appropriateness of this information having regard to your personal objectives, financial situation or needs.
Neither Capital Prudential, CPDDF or CPFM or any of their related parties, their employees or directors, provide any warranty of accuracy, completeness or reliability in relation to such information contained within this update or accept any liability to any person who relies on it. Neither Capital Prudential, CPDDF or CPFM guarantees repayment of capital or any particular rate of return from the investment. All opinions and estimates included in this update constitute judgements of Capital Prudential as at the date of the update and are subject to change without notice. Economic and outlook forecasts are not guaranteed to occur and past performance should not be taken as an indicator of future performance.
This update contains an incomplete description of features of the Fund and Secured Income Notes and should be considered in conjunction with the Information Memorandum and other transaction documents (which are available upon request). Investment in the Secured Income Notes is subject to risks including delays in repayment and loss of income and capital invested and is suitable only for potential investors who do not require liquidity for their investments.
^ The interest rate offered to you at this time may differ from other interest rates offered from time to time. For example, it may differ from the interest rate for any Secured Income Notes previously or subsequently offered and issued. The interest rate for each Secured Income Note will be the rate notified in writing when offered to you as an investor prior to your investment.
