Investment Details
SDAX launched an exclusive opportunity to participate in a property loan for the refinancing and lease extension of a shophouse located in the Downtown Core of Singapore, conveniently located opposite Clarke Quay MRT Station.
About the Issuer and Loan Purpose
A first tranche of SGD 1 mil was previously raised to refinance an existing loan. Singapore Land Authority (SLA) has extended an offer for a lease extension to 99 years, and this second tranche is to fund the extension premium payable to SLA. This additional loan drawdown is secured against the asset on a pari-passu basis.
Investment Highlights
- Exclusive access: Access a prime commercial asset located within the Central Business District of Singapore
- Repayment Options: Once the lease extension has been granted, repayment is expected from either a bank loan or sale of the property.
- Central location: Located along New Bridge Road, bounded by Carpenter St, South Bridge Road and Upper Circular Road, the shophouse is located 1km from the bustling city centre
- Amenities within the vicinity: Surrounded by a mixture of high-rise buildings, other shophouses and malls such as Clarke Quay Central and Funan Mall.
Product Suitability
What would you gain or lose in different scenarios?
- Best Case Scenario
- Investor gets to make a return based on the agreed interest rate offered in addition to the investment committed to participate in the Term Loan Facility.
- Worse Case Scenario
- In the event of default, recovery from the outstanding loan amount will be by way of liquidating assets that are being pledged as security for the Term Loan Facility.
Investor Profile for this issuance should be AGGRESSIVE.
The nature of the investment is BALANCE.
Risk & Reward involved with the investment AGGRESSIVE.