This article is from the Australian Property Journal archive
TIAN An Australia has entered into a joint venture with LFD Developments, where it will invest $25.2 million into a new development in Pymble in Sydney’s upper north shore.
The joint venture is an unincorporated joint venture to be managed by LFD, who will hold a 30% participating interest, with TIA holding the remaining 70%.
TIA will contribute $25.2 million to the development of Cascade Gardens located at 2-8 Pymble Ave.
Any profits from Cascade Gardens are to be paid firstly to TIA, and then to LFD according to the agreed profit share.
Whilst LFD is not a related party of TIA, the CEO of TIA is a beneficiary under the trust which holds the land the subject of Cascade Gardens.
If required, TIA will also provide an additional $10.8 million contribution by way of a loan towards LFD’s 30% for costs of the property settlement. TIA’s loan will accrue interest at 12.0% p.a. until the loan is fully repaid, and is secured by a personal guarantee from the sole director of LFD.
Cascade Gardens will consist of 98 apartments across three buildings between three and eight storeys. In addition, there will three levels of basement car parking and one retail shop.
Australian Property Journal
