Centaur Property has positioned itself as a leading provider of sub $20m real estate backed senior and mezzanine loans to the Australian property development sector. The firm has taken advantage of the lack of competition in the sub $20m lending space and the conservative lending habits of the major banks to fund smaller development projects.
Centaur Property is an institutional wholesale fund manager and has over $475m in gross funds under management. Current investors include industry superannuation funds as well as family office and high net worth investors.
Since inception, Centaur Property has been able to generate strong returns for its investors. The firm has now provided over $410 million in finance to 100 property development projects throughout Australia. To date, the firm has exited 72 investments and investors have received over $287 million in returned capital, realising a gross IRR of 17.4%.
The current portfolio of investments are forecast to generate an IRR in excess of 12.5% net to investors. The lower forecast return, reflects a conscious decision to provide more 1st mortgage senior loans following a tightening of credit across the Australian banking sector.
Centaur Property is 100% owned by its management team who are totally aligned to the performance of its investments.
Centaur Property is currently investing through its third fund, Real Estate Debt Fund 3 (RED3). RED3 had a first close in July 2018 and (together with co-investors) has commitments in excess of $100m from institutional wholesale investors. RED3 is still open to investors and will seek to have a $200m final close in July 2019. RED3 is targeting a 12% net IRR to investors with a 85% weighting to 1st mortgage lending.
Centaur is also able to facilitate co-investment opportunities alongside fund investments.
For information about investing with Centaur Property please contact Joshua Rowe or Mark Darling on +61 2 8005 2745.