In this episode, we have Michael Cameron, from Perth based property investment business, Jarra Property. Minh interviews Michael about their business operation, and what they do as SDA property developers and fund managers!Michael explains their past property investment funds launched in SDA, across Perth, while also talking about their recently launched fund - JARRA INVESTMENT TRUST TWENTY EIGHT. The fund has been established in partnership with leading Western Australian care provider Ident...

Show Notes

In this episode, we have Michael Cameron, from Perth based property investment business, Jarra Property. Minh interviews Michael about their business operation, and what they do as SDA property developers and fund managers!

Michael explains their past property investment funds launched in SDA, across Perth, while also talking about their recently launched fund - JARRA INVESTMENT TRUST TWENTY EIGHT. The fund has been established in partnership with leading Western Australian care provider IdentityWA (an agency of the Catholic Church), who support approximately 400 Western Australians living with a disability and their families. The fund is building 16 houses around Perth, within a 15km radius of the CBD. The houses be leased to Identitywa, to provide high quality, contemporary homes for people to whom they provide care and support services.

For investors who qualify as 'wholesale investors' this is a great opportunity to participant in a managed SDA investment. Please listen to this episode to hear how JARRA PROPERTY are doing things differently in the property development space of SDA.

A snapshot of the fund is as follows:

  • Properties: the fund will develop 16 houses across eight suburbs of varying demographic profiles. They have secured the land for all but one of the houses.
  • Leasing: pro forma lease (10 year lease + 2 x 5 year options) agreed with IdentityWA.
  • Construction: the houses have been priced by three separate builders. Their project manager is also a registered builder and is delivering houses for IdentityWA (same spec and configuration). He has a good handle on construction costs.
  • Exit/Valuation: Jarra thinks that the WA residential market will outperform over the next 5 years – this would be a positive for valuation assumptions.
  • Investment Structure: investor development related risk is limited due to satisfactory DD (including IdentityWA sign-off), a signed AFL and acceptable construction costs all obtained prior to introducing a property to the fund.
  • Investor returns: Target IRR of 13.0% (pre-tax and post fees) including +10.0% cash distributions to investors post construction, representing a 1.75x cash multiple of equity invested over the five (5) year investment term.
  • The expected returns are attractive and the opportunity ticks a lot of boxes as a socially responsible investment.

For more information, please goto website - www.jarraproperty.com


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For any podcast related queries or suggestions, please contact our podcast team via podcast@ndis.property

www.ndispropertyaustralia.com.au

For any podcast related queries or suggestions, please contact our podcast team via podcast@ndis.property

www.ndispropertyaustralia.com.au




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