Note: It is important that you carefully review the Information Memorandum before making an application. We note that as part of the negotiations on the assignment of the lease a bond of $100,000 has been provided to MPI and will be released upon completion and satisfaction of the fitout works. This type of bond is normal where leases are assigned the purchaser has obligations to undertake works.
Quarry Capital Limited (as the offeror, promoter, and manager) offers certified wholesale investors an opportunity to purchase proportionate ownership interests ('Interests') in an existing proportionate ownership scheme. The scheme was previously known as the Tuapeka Property Syndicate, however following a restructure which took place on 25 July 2022, the scheme has been renamed as the Tweed Property Scheme (‘Scheme’).
Scheme investors are currently receiving pre-tax cash distributions of 7.1% per annum. This will be changing to 6.0% on 1 September 2023 to reflect the higher cost of the scheme debt.
The Scheme is a managed investment scheme under the Financial Markets Conduct Act 2013. The Scheme (via TGP Nominees Limited, as bare trustee) currently owns the land and buildings at 9 Chadwick Street, Fairfield, Dunedin which it leases to Tuapeka Gold Print, as well as the land and buildings at 90 Tweed Street in Invercargill, which it leases to Ministry for Primary Industries ('MPI') under a new 12-year lease following the recent redevelopment and fitout.
The redevelopment programme at 90 Tweed Street (including base build works and fitout works) is largely finished and the tenant is occupying the premises. The cost of the fitout (excluding base build works) is being repaid by MPI to the Scheme over the initial term of the lease, in addition to a finance cost and annual property rental.