market

Vellum Real Estate Debt Fund

Australia’s corporate capital markets are mature and well established. The market for corporate loans was once dominated by the big four banks. However, it has become harder for SMEs to gain approvals for as lending criteria has tightened as a result of regulatory and banking policy changes. Opportunities have arisen for new lenders to service the SME market delivering much-needed finance to this important segment of the Australian economy. Through one of Vellum’s debt funds, investors can gain exposure to a well-managed corporate debt market.

Vellum's Real Estate Debt Fund will offer short-to-medium term financing facilities that are either registered as mortgages or structured debt financing for different types of projects and/or assets located within the capital cities of Australia. The fund now has a pipeline of multiple projects, which targets yield of 10% per annum for a term of less than two years.