The Quintessential Equity Master Fund
The Quintessential Equity Master Fund (the ‘Master Fund’) is an unlisted wholesale management investment scheme that provides investors with the opportunity to invest directly into commercial or industrial properties in key strategic locations with the intention of repositioning these assets to provide long-term stable income and maximise investor returns.
In mid-2017, Quintessential Equity foresaw the changing bank lending approach – lower loan to value ratios, more onerous interest rate coverage and much more stringent lending criteria.
The Master Fund structure provides pre-committed investor capital, enabling Quintessential Equity to be ‘capital ready’ to take advantage of the buying opportunities that is created by the tightening of bank lending.
The Master Fund structure is made up of a number of trusts each owning a property under the one umbrella trust.
In April 2018, the Master Fund raised $112 million of investor commitments giving it the ability to acquire approximately $170 million of assets, subject to the level of bank lending received.
Continuing our proven approach to the properties we acquire
We apply the same buying metrics and the same strategies to reposition and enhance the properties that are being acquired in the Master Fund as we have done with all properties to date, which has resulted in our strong track record.
Each property being considered for the Master Fund undergoes our extensive due diligence process and we continue to apply our conservative assumptions in the financial projections.
Nimble cash buyer
Quintessential Equity created the Master Fund because we anticipated the reduced liquidity and tighter lending conditions across the commercial property sector. This has now eventuated.
Backed by pre-committed capital, Quintessential Equity has positioned itself as a nimble cash buyer ready to take advantage of the property investment opportunities that are now being presented.
Subject to our due diligence process, the Master Fund can therefore move quickly for properties that meet our criteria and provide certainty and speed of completion – both highly desirable attributes in this lending environment.
Quintessential Equity is committed to delivering risk-mitigated returns and preserving investor capital. Through the Master Fund, investors can invest in a diversified portfolio while the separate property holding trusts also provide Senior Debt flexibility as well as asset protection benefits.
All purchases by the Master Fund have to be approved by the Quintessential Equity Investment Committee, comprised of two independent members and two Quintessential Equity members.
Investing in the Master Fund, or find out more
The Master Fund is fully subscribed. We have acquired two properties in the Master Fund which have called to date 43% of the committed capital. When we have deployed 100% of the committed capital, we will undertake a capital raising for Master Fund 2.
If you are interested in finding out more about our Master Fund structure and the expected timing of Master Fund 2, or information about our past and current investments – what we do and how we do it – please do not hesitate to call The Investor team on +61 3 9914 2214.