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INFO
PACK

IMPORTANT INFORMATION

This webpage is a summary of significant information you’ll need to consider when making a decision about Lion Property Group’s investment offers.  This webpage does not refer to a specific investment offer, but rather Lion Property Group’s investment offers in general. This webpage is not a product disclosure statement for the purposes of Part 7.9 of the Corporations Act. The information in this webpage is general information only. It does not take into account your personal circumstances, financial situation, or needs. Before making a decision to invest, you should consider the Information Memorandum of the specific investment offer and obtain financial advice tailored to your personal circumstances. This page was last updated in February, 2020.

"The rich invest their money and spend what is left; the poor spend their money and invest what is left."

- Robert Kiyosaki

WHY INVESTING IS VITAL

Low interest rates and unchanging inflation rates mean that saving your money in a bank account is actually costing you buying power over time.

Each year that your money is left sitting in a bank account, you are losing 0.2% of your buying power.

1.96%

Inflation Rate

Average annual rate of inflation over the last ten years.

1.8%

Interest Rate

Average annual interest rate offered in bank’s savings accounts.

This means that if you want to grow your wealth over time, you have to invest it. But there are many options - which is the best?

COMMON INVESTMENT OPTIONS

2.50%

Australia 10-Year Bonds

This is the ‘coupon rate’: the amount of interest that bondholders will receive on an annual basis. Government bonds are generally considered the safest possible investment option.

-10.80%

S&P/ ASX 200 Stock Market Index

This is an Index Fund of the 200 biggest companies on the Australian Stock Exchange (ASX), managed by Standard & Poor’s. It is a commonly used indicator of the performance of blue-chip equities on the ASX.

9.04%

Average Property Price Growth

This is the change in dwelling values according to CoreLogic’s 5 capital city aggregated figures. This figure is gross and does not account for the ongoing costs of owning a property, which reduce net returns.
Figures refer to FY19-20.

As you can see, the performance of investments varies greatly depending on the asset involved and the level of risk that is inherent in the strategy. Modern economic and investment theory supposes that the amount of return and level of risk present in an investment offer are linked. Each investor should identify their own unique financial goals and choose investment products to suit.

OUR TYPICAL OFFERING

An showcasing our typical investment performance. Figures are indicative only, see each offer for specific performance targets.

LAND ACQUISITION
18 Month Investment Term
$250,000 invested
1 %
Targeted RETURN ON INVESTMENT
$ 0
Payment per quarter
$ 1
Total profit

ABOUT LION PROPERTY GROUP

Lion Property Group is the Promoter and Development Manager of various property development Trusts and Companies. We oversee the operation, investment decisions, management, and administration of each of these Trusts.

Our obligations are governed by each Trust’s Trust Deed, the Corporations Act 2001 (Cth), general Trust law, and any other applicable laws.

Over the last few years, we have honed and revised our investment models based on the challenges we’ve encountered from practical experience in undertaking our developments. The result is two distinct models of investment structured to serve the needs of investors and the experience required for us to consistently achieve the targeted performance.

Our Experience

HISTORICAL PERFORMANCE

Since these projects had different investment durations, these figures show the annualized net return to investors of each project.

In our first year of operation, we paid out over $1.1 million in profit to investors in cash flow investments.

HOW WE INVEST YOUR MONEY

Investment Strategy

We utilise a growth-focused investment strategy that uses property development to achieve it’s returns. Property development, also known as real estate development, is a business strategy that encompasses a variety of practices designed to increase the value of a property so that it can be resold for a profit. Property development has been a successful investment model for decades, but is usually out of reach of most single investors. By utilising a mutual fund structure that pools capital from multiple investors, we are able to offer property development opportunities to individuals who cannot undertake them on their own. The projects we fund have been identified by the Development Manager as having a suitable internal rate of return upon completion to deliver satisfactory amounts of profit.

HOW OUR INVESTMENTS WORK

When a client invests in a project, they are allocated units in a Unit Trust, proportional to the amount of capital invested: $1,000 equals one Unit. At the same time, they receive shares in a controlling entity responsible for the purchase and development of the land: a Special Purpose Vehicle. The special purpose vehicle (also known as an SPV) is a registered proprietary limited company which is incorporated for the purpose of the property developments completion. The SPV functions as a legal entity which collectively represents all investors in a project. Investors also have voting rights in this Company, which for example can be exercised should the management agreement require major changes.

The Joint Venture agreement to undertake a project is between Lion Property Group and the Proprietary Limited Company.

The development site for the project is purchased by the Company which represents the investors, using investor capital. As the investors are shareholders, they are entitled to the assets of the Company to recoup their investment in the unlikely event of an insolvency or other failure. This means that investor capital is secured against the value of the development site itself. If the worst-case happens, investors can sell the site to get their capital back, or take another course of action, depending on what the shareholders vote to do.

While the land is collectively owned by the investors, they don’t want to be doing the work of actually undertaking the development. Which is why the Company appoints Lion Property Group as the Development Manager via the management agreement. This agreement also outlines the plan and overall intended process for the development, including the type and number of properties to be constructed.

As the Development Manager, Lion Property Group is responsible for completing the development on behalf of the Company and the investors. This involves, but is not limited to:

  • overseeing all administrative tasks required to complete the project;
  • appointing and collaborating with town planners, architects, land surveyors, and engineers to complete development plans;
  • submitting the plans to Council and obtaining all relevant approvals as required by the jurisdiction of the development site;
  • representing the investors at civil tribunals relating to the project, if required;
  • obtaining financing from a lender to fund construction;
  • selling the developed properties in-house, or appointing a realtor to assist with sales.

This investment structure is utilised because it ensures that investors are protected, but grants us the ability to undertake the development in a timely and efficient manner in line with investor expectations.

BENEFITS OF INVESTING IN OUR PROJECTS

Our projects aim to provide investors with exposure to property development projects and their revenue.

High Returns

Our completed projects have successfully provided investors with average returns of 12.86% per annum when their performance is annualised.

No Hidden Fees

There are no hidden fees in the fine print. Our fees are included in the Information Memorandum of each offer.

Transparency

Progress updates are communicated to investors on a monthly basis so you know how your investment is tracking.

Security

All of our investments are secured against real estate assets, and investors are provided with Units and/or Shares.

CURRENT OFFERS

Are you eligible?

Some of our investment offers are restricted to investors who meet certain criteria. Please complete a quick eligibility test so we can offer you the appropriate investment options for your financial situation.

OUR TEAM

Team - Garry Pesochinsky- Director Lion Property Group

Garry Pesochinsky

Head of Developments

  • Overseen 20+ property developments
  • Personally managed over $50 million of capital
  • 10+ years working in financial services sector
John Sader - Info Pack - Lion Property Group

John Sader

Head of People & Culture

  • 15+ years of management experience
  • 5+ years working in financial services
  • Accredited Behavioural Specialist
Team - Chloe Shi - General Manager Lion Property Group

Chloe Shi

General Manager

  • Master’s in Business Administration (Executive)
  • 10+ years working with C-Suite and Executives
  • Extensive background in HR & Recruiting
Rami Alagha Headshot Lion Property Group Square

Rami Alagha

SENIOR PROJECT MANAGER

  • Bachelor’s Degree in Civil Engineering
  • Master’s Degree in Construction Project Management
  • Diploma of Construction of Buildings
  • PhD Candidate in Construction Management
Team - Daan Jansen - Lion Property Group Square

Daan Jansen

Capital Advisory Consultant

  • 15+ years of investment experience
  • Accredited Investment Advisor (RG146)
  • Cert. IV Finance & Mortgage Broking
WebSquare- Brenton Schaeche- Capital Advisory Director- Lion Property Group Headshot

Brenton Schaeche

Capital Advisory Consultant

  • 12+ years of investment experience
  • Accredited Investment Advisor (RG146)
  • Bachelor of Construction Management
Stuart Ruddick Lion Property Group Headshot Square

Stuart Ruddick

Capital Advisory Consultant

  • Agents Representative
  • Investment Advisor (RG146)
  • 5 Years in the Property Industry

OUR LOCATION

Lion-Property-Group-Property Development--South-Melbourne
Lion Property Group - Property Development - Exterior - South Melbourne

LEARN MORE

Hungry for more information? Check out our other educational resources to learn more and help you make an informed investment decision.

eBook

Property Development Guide

FAQs

Common questions from investors

Videos

Explanations from industry experts

Level 3, 80 Dorcas Street
South Melbourne, 3205
1300 268 897
info@lionproperty.group
ACN 625 889 367
ABN 13 625 889 367

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Wealth Creation - Lion Property Group

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Informed Decision

View our property development info pack to kickstart your property development journey. All the information you need about Lion, our models, and our expert team, in one convenient place, so you can make an educated decision.