Bensons property group

Established in 1994, Australian-owned developer, Bensons Property Group, operates under an important principle: the desire to create residences of distinction that enrich the community and the lives of residents. Stunning architecture, stylish interiors and a true emphasis on quality are the hallmarks of a Bensons property.

Over the past 25 years, Bensons Property Group has successfully completed over AUD $2.0 billion worth of quality residential and mixed-use developments.

Current Benson’s projects, offered through APFG

Your new home at Chelsworth sits in the heart of the leafy and established suburb of Ivanhoe, just 9km from Melbourne CBD, surrounded by prestigious schools, well-connected by all means of public transport, and perfectly acquainted with the retail and cafe lifestyle.

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Architecturally inspired by the natural shapes and textures of the coast, Chevron One will stand 41 levels tall as an iconic landmark. Minutes from Surfers Paradise and the new arts and cultural precinct, Chevron One residents will savour a unique lifestyle experience.

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Liberty One is an exclusive collection of elegant inner-city apartments, overlooking Flemington Racecourse, and with unobstructed views to the North.

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Recently completed and standing as the tallest building in Malvern East, Vanguard apartments reflect the careful and considered approach of award-winning architects Fender Katsalidis.

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BENSONS FUND MANAGEMENT

Bensons Funds Management was established to give external investors the opportunity to benefit from the extensive property development and investment expertise of Bensons Property Group.

Qualifying investors have the opportunity to reap the rewards of Bensons Property Group’s demonstrated ability to achieve sound and profitable growth.

Key Benefits:

Bensons has over two decades of funds management experience, paying external investors both interest and capital on time, every time
Investment moneys are used to fund existing development projects and acquisition of new sites
Bensons offers both corporate investment bonds issued directly Bensons Property Group and units in complying investment funds
Both interest and capital invested are guaranteed by the parent company, Bensons Property Group, for all investments

the best investment strategies available

BENSONS RELATIONSHIPS

Strong focus on risk management. Bensons uses external architects, engineers and builders best suited for each project and in order to minimise risks.
Strong relationships with major Australian banks and other non-bank lenders
Strong relationships with all levels of Government in Australia

HOW THE INVESTMENT WORKS:

You select a Bensons Property that you would like to purchase.
At the same time, you can prepay all or part of the purchase price of the selected apartment by investing in the Fund. This investment will attract interest at the attractive fixed rate of 8% per annum. The accumulated interest is then applied at settlement of your Bensons apartment as a discount on the purchase price.
This investment opportunity also allows you to properly plan in advance the transfer of funds into Australia whilst the exchange rates remain favourable.
The investment sum and accumulated interest are fully guaranteed by Bensons Property Group and are also secured as an offset to the purchase price of your Bensons Apartment.

The following examples illustrate the benefits that can be achieved:

BENSONS CHEVRON ONE DEVELOPMENT FUND

How do I invest in the Bensons Chevron One Development Fund (“Fund” or “BCODF”)?

The investment steps are:

The investor completes and forwards to Bensons an Application Form.
Bensons accepts the Application Form.
The investor pays the investment sum to the bank account of Bensons.
Bensons transfers from the investment sum the 10% deposit monies required for the Contract of Sale to Bensons solicitors’ trust account, with the balance remaining in the Fund.
Bensons issues to the investor an executed Subscription Deed and Unit Certificate confirming receipt of the monies and setting out the terms of the investment. The investor does not execute the Subscription Deed or the Unit Certificate.

How do I enjoy a discount on the price of an apartment through investment in the Fund?

The interest earned on the Fund investment will be applied at the settlement of the Chevron One apartment as a discount or rebate on the purchase price of the apartment.

What is the minimum investment amount in the Fund?

The subscription amount is to be equivalent to at least 30% of the sale price of the apartment. Part of this investment sum will be applied as the deposit under the Contract of Sale, with the balance remaining in the Fund and attracting interest at 8% per annum. The investor needs only make one payment to the bank account of Bensons, which will then be allocated to payment to the Contract of Sale deposit and the investment in the Fund.

What if I have already signed a Contract of Sale and paid the 10% deposit?

A similar process as above would apply, except that the 10% deposit is not transferred from the investment sum.

What rate of interest will I earn on the 10% deposit for the Contract of Sale?

When the deposit moneys are transferred to the solicitor’s trust account, as required by Victorian legislation, interest at the current bank deposit rates will be earned. These rates currently vary from 2.29% per annum for 30 days to 3.0% per annum for 1 year.

How will the interest on monies in the Fund be calculated and applied as a discount on apartment sale price?

Interest will be calculated based on 8% per annum, on a daily basis, from the start of the investment until the redemption date, on a simple interest basis without interest compounding.

Can I choose to receive the interest in cash before the redemption date?

No, the interest will accrue to the investor until the redemption date (at the earlier of completion of the development or at the end of 4 years), and will only be paid out at that time. Instead of the actual interest payments, the investor will receive a discount to the purchase price, thus not incurring income tax that would otherwise be payable if the interest income had been paid.

What is the maximum investment amount in the Fund?

There is no limit to the amount that you can invest in the Fund. You can also progressively add to your initial investment as you wish. If the investment amount and accumulated interest in the Fund exceeds the balance amount to be paid at settlement, the investor can choose to have the excess amount paid out in cash at that time, or have it invested with Bensons for the balance of the 4-year term. In the latter case, the Trustee will provide to the investor a statement summarizing the balance of the Investment Sum held by the Trustee until the maturity date.

Can I choose to receive the interest in cash before the redemption date?

What is the maximum investment amount in the Fund?

How will the investment sum be used?

The Trustee of the Fund will loan all or part of the investment sum to the Bensons Property Group for the purposes of financing the development of the Chevron One project.

How will the investment be secured?

In the event of a default by the trustee, the investor will have the right to redeem the investment and apply the investment sum against the monies due to Bensons Property Group under the Contract of Sale. You will have the security of a direct right to offset the monies you owe for settlement of the apartment against monies owed by the Fund to you.

If I am unable to obtain a bank loan or do not have sufficient Funds for the settlement, can I terminate my investment in the Fund and have the investment sum refunded to me?

Always talk to us first if you are having difficulties in finding a financier in Australia, there are now many non-bank lenders specialising in providing loans to overseas investors. We expect investors in the Fund to have the ability to settle the purchase of their apartments. If the investor does not settle according to the Contract of Sale, the Fund may redeem the units and apply the proceeds against any money due to Bensons Property Group under the Contract of Sale.

Can I redeem the investment sum at any time?

The investor may only redeem the investment when the development is either completed or at the end of the 4-year investment term.

When will the Chevron One development be completed? If the development is completed earlier than expected, will that affect the “discount” that I enjoy on the apartment?

We expect to commence construction by November 2020 for completion in June 2023. The “discount” on the apartment price is calculated as interest accrued up to completion of the development and can therefore vary depending on the actual completion date. However, investors looking to increase their overall returns can choose to invest any balance monies exceeding the settlement amount for the balance of the 4-year investment term.

We expect to complete the Chevron One development by June 2023. However, if the development is still not completed at the end of 4 years (from the time of the investment), the investor can redeem the investment sum at that time.

Why is Bensons Property Group offering this investment scheme? Is it short of funds for the development?

No, Bensons has finance sources for the development, which is why Bensons committed to start construction in late 2019. The Fund has been established at the request of overseas purchasers, who wanted the ability to transfer immediately or progressively funds from overseas to Australia into an investment which would provide an attractive rate of interest. The Fund is also attractive to Bensons because Australian Banks put limits on the number of apartments that can be sold to overseas investors. The Banks will allow a limited increase in the number of apartments sold to overseas investors if they include an additional investment in the Fund. To reward our buyers who are willing to meet the Bank’s requirement, we will give them a discount on their property purchase which is calculated as an interest return on the Fund investment.

Are there any fees to be paid for the Fund investment?

No establishment, management or any other fees, will be charged for the Fund investment. However, any interest returns that are not taken in the form of a discount on the apartment price and are paid in cash, will be subject to the standard Australian withholding tax of 10% of the interest income, if the investor is a foreign tax resident.