Investment Examples

Here are a few previously funded examples of First Mortgages offered by Alpha First. 

Please note these are historically funded examples and all rates are relevant to the market rates and conditions at that time.

Re-finance for the development of a large horticulture processing facility – Canterbury

Loan Amount: $4,300,000

Loan Purpose: To re-finance an expired loan facility to support the planned development of a state-of-the-art grain processing facility that can supply animal nutrition products on a substantial scale, nationwide.

Loan Term: 12 Months

Valuation: $8,500,000

LVR: 50.5%

Interest Rate: 11% pa, paid monthly

Security: 1st Mortgage Security over 22ha of land, Personal Guarantee, General Security Agreement over the Borrower, Deed of Assignment over all Pre-sale Contracts.

Land Purchase for Kainga Ora residential development – Waikato

Loan Amount: $3,400,000

Loan Purpose: To assist with the purchase of land for the construction of 6 dwellings on site.

Loan Term: 12 months

Valuation: No valuation has been requested, given there is an unconditional Agreement for Sale in place to a government-funded counterparty.

LVR: 65%

Interest Rate: 11.5% pa, paid monthly

Security: 1st mortgage security over properties, unlimited Personal Guarantees, General Security Agreement over the borrower.

Re-finance existing land debt for future life-style block development – Waikato

Loan Amount: $3,400,000

Loan Purpose: To re-finance an existing land debt planned for a 3.2ha lifestyle block development, with the plan to sell down the smallest title during the term of the loan to reduce debt and refinance with a main bank.

Loan Term: 12 months

Valuation: $6,700,000

LVR: 50.9%

Interest Rate: 11.5% pa, paid monthly

Security: 1st Registered Mortgages over properties, General Security Agreement over the borrower, and Unlimited Personal Guarantees.

Residential Subdivision Development – Tauranga

Type: Residential Subdivision Development

Loan Amount: $5,900,000

Loan Purpose: To fund the purchase of two land lots required for new subdivision development, as well as an equity release to assist with the completion of stage two.

Loan Term: 18 months

LVR: 50.5%

Interest Rate: 10% pa, paid monthly

Security: 1st mortgage over properties, General Security Agreement over the borrower, and unlimited Personal Guarantee.

Farm Re-finance – Rural Central Otago

Type: Farm Re-finance

Loan Amount: $3,400,000

Loan Purpose: To fund an 18-month facility to enable the borrower to repay existing bank debt, and fund working capital.

Loan Term: 18 months

LVR:42.56%

Interest Rate: 9.50% pa, paid monthly

Security: 1st mortgage over two freehold properties, General Security Agreement over the borrower, unlimited Personal and Corporate Guarantees.

Residential Development – Hamilton

Type: Residential Development

Loan Amount: $1,600,000

Loan Purpose: Equity release for working capital.

Loan Term: 12 months

LVR: 55.38%

Interest Rate: 10.5% pa, paid monthly

Security: 1st mortgage over the property, General Security Agreement over the borrower, and unlimited Personal Guarantee.

Land Purchase for Horticulture development – Cambridge

Type: Residential Development

Loan Amount: $2,100,000

Loan Purpose: To fund the purchase of a rural residential property that includes 8.5 hectares of land for future kiwi-fruit production.

Loan Term: 12 months

LVR: 48.67% 

Interest Rate: 9.5% pa, paid monthly

Security: 1st mortgage over the property, General Security Agreement over the borrower, and unlimited Personal Guarantees from the borrowers.

Property Development – Auckland

Type: Property Development

Loan Amount: $5.2M

Loan Purpose:  Loan funds are to assist with various property development projects.

Loan Term: 12 months

LVR: 33%

Interest Rate: 10% pa, paid monthly

Security: 1st mortgage over the property in prime position and location,  General Security Agreement over the borrower, and unlimited personal guarantee.

Subdivision Land Purchase – Canterbury

Type: Subdivision Land Purchase

Loan Amount: $1.8M

Loan Purpose:  The loan will assist in the purchase of 10 sections within an existing subdivision. All 10 sections are assigned to pre-sold house and land packages.

Loan Term: 12 months

LVR: 52.47%

Interest Rate: 10% pa, paid monthly

Security: 1st mortgage over the properties, General Security Agreement over the borrower, and personal guarantees of joint shareholders.

Land Purchase – Auckland

Type: Land Purchase

Loan Amount: $2.3M

Loan Purpose:  The loan will assist with the purchase of two properties for future townhouse development.

Interest Rate: 9.50% pa, paid monthly

Loan Term: 12 months

LVR: 49.48%

Security: 1st registered mortgage over the two properties, personal guarantees from both borrowers, and General Security Agreement.

Land Purchase – Waikato

Type: Land Purchase

Loan Amount: $5.6M

Loan Purpose:  The loan will support the purchase of 3.7ha of land for an already consented residential subdivision development. The product is well located with demand demonstrated by the high number of pre-sales achieved during the planning stage.

Loan Term: 12 months

Interest Rate: 9.5% pa, paid monthly

LVR: 48.2%

Security: 1st and only mortgage over the property, 1st General Security Agreement over the borrower, Personal Guarantees from borrowers.

Industrial Land Subdivision

Type: Industrial Land Subdivision

Loan Amount: $5.0M

Loan Purpose: To fund the purchase of an 8,000-ha sub-division and development of a 10,000m2 accommodation building in Central Otago.

Loan Term: 12 months

Interest Rate: 8.95% p.a.

LVR: 40%

Security: First Mortgage Security over property, Personal Guarantee, and General Security Agreement.

Residential Townhouse Development

Type:  Residential Townhouse Development

Loan Amount: $2.3M

Loan Purpose: To fund the construction of a 4-x stand-alone townhouse development in South Auckland.

Loan Term: 12 months

LVR:  56%

Interest Rate: 9.5% p.a.

Security: First Mortgage Security over property, General Security Agreement, and Personal Guarantee.

Commercial Retail Units

Type: Commercial Retail Units

Loan Amount: $5.2M

Loan Purpose:  To fund the construction of a new retail development in Christchurch comprising of 5 unit-titled retail units.

Loan Term: 12 months

Interest Rate: 9.5% p.a.

LVR: 56%

Security: First Mortgage security over property, Personal Guarantees, General Security Agreement.

Disclaimer: Minimum investment of $100,000. Only available to Eligible and Wholesale investors under the Financial Markets Conduct Act 2013. Alpha First Mortgage Investment Limited arranges mortgage investments but is not the issuer or a guarantor, and does not provide any financial advice on whether or not an investment is right for you. Investors should consider obtaining financial advice before investing.