RESI BondsResi Bonds are financial instruments that can be issued to fund small-scale real estate development projects such as house & land packages (land acquisition & building costs), small subdivisions or purchase & renovations for on-sale.
RESI Bonds for project finance
RESI Bonds (Residential Investment Bonds) are a debt or equity facility issued to raise project finance. The RESI Bond can be repaid in full at the end of the term, refinanced, or redeemed early. The Bond terms can include a negotiated interest rate, with monthly or quarterly payment until maturity. For a convertible RESI Bond the Issuer will either pay out the Bond, or the investor or joint venture partner takes an equity stake in the business or project.
RESI Bonds are ideal financing tool to access alternative capital from the private market where the project owners are unable to secure bank finance. RESI Bonds are flexible financial instruments designed for small-scale property development projects up to $5 million. The RESI Bond buyer or investor has the added security of the asset until the bond matures.
RESI Bonds to diversify your SMSF portfolio
An alternative investment strategy for (self-managed-super-funds) SMSF looking to diversify their income sources. Secured RESI Bonds offer a fixed interest rate well above bank deposits. These are ideal medium term investments earning your SMSF an income paid monthly or quarterly until maturity.
RESI Bonds Preliminary Application Form
Call 02 9006 1327
Fees and charges apply to issue and register a RESI Bond Issue.
Schedule your call here to discuss your project seeking debt capital.
RESI Bond Compliance
A RESI Bond (Residential Investment Bond) is not a complex Managed Investment Scheme. A RESI Bond is a small-scale offer to issue debt securities to sophisticated investors within Section 708 of the Corporations Act.
In comparison a Managed Investment Scheme is used to raise a pool of money from the public to lend out or re-invest on behalf of the unit holders.
Typically, the Bond Issuer has already accumulated interest from the Vendor, Suppliers, Advisers, or Associates of the business or project and needs a compliant structure and framework to attract capital. Or is seeking funding through alternative peer-2-peer networks for joint venture partnerships.
Accrutus Capital provides the legal framework and services for you, the Issuer of the RESI Bonds, and assists you in the preparation of a detailed Information Memorandum about the business opportunity that investors will need to make an investment decision.