This property required extensive repairs due to water damage caused by heavy rain in July 2018. Unfortunately, despite having insurance with Terri Scheer (underwritten by Suncorp) in place, our claim with the insurer was denied twice, even on appeal. Due to the urgent nature of the required repairs, the Trust has entered into a loan with The Brick Exchange Pty Limited with the following details:
- Loan value: $29,000
- Loan commencement: October 2018
- Interest rate: 5.00% pa
- Loan Type: Unsecured, No fixed maturity date
Once the repairs were completed, a new tenancy was secured and commenced on 16 November 2018, for 12 month lease, at a rate of $750 per week. As a result of the repairs, the Brunswick West property has not been paying distributions and will continue to pay no distributions until the loan has been repaid. The current projections estimate the first date of distribution between October-December 2021 assuming no additional unplanned maintenance.
Given this timeline, we are aware that it is a very unfortunate situation for investors in the BRW01 property and The Trustee are evaluating further options that are in the best interest of members.
For more information on the history of the BRW01 property distributions, see the 'Monthly Updates' section of the 'Details' tab.
If you have any questions or concerns about the BRW01 property, feel free to contact us.
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