Pallas High Yield Fund No.2
Wholesale Investors Only

Pallas High Yield Fund No.2

Pallas High Yield Fund No.2

A diversified first and second mortgage fund with superior risk adjusted fixed income returns backed by real estate assets (For Wholesale Investors Only).

Pallas High Yield Fund No.2
Min. Investment
$100,000
Objective
Income
Structure
Other
Asset Class
Property (Listed/​Unlisted)
Liquidity
Unlisted liquid
Closing Date
Upon completion of raising
View More Details
Min. Investment
$100,000
Objective
Income
Structure
Other
Asset Class
Property (Listed/​Unlisted)
Liquidity
Unlisted liquid
Closing Date
Upon completion of raising
Industry
Other
Funding Stage
Unlisted Early-Stage Fund
Security Type
Unit in a trust
Target Capital
$20,000,000
Availability
Open for investment

Investor Return
9.5% p.a. + 1 month BBSW (mid), paid monthly
Investment Time Frame
Open-ended
Distributions
Monthly
Redemption Notice
12 months
Maximum LVR
75% against any one loan
Issue Size
Up to $150 million

The Pallas High Yield Fund No.2 (PHYF2), a diversified, open-ended first and second mortgage fund with superior risk adjusted fixed income returns backed by real estate assets. 

 

PHYF2 seeks to build a portfolio that offers exposure to real estate loans via first and second mortgages and/or Pool Lenders, predominately located in Sydney, Melbourne, Brisbane metropolitan areas, along with key metropolitan areas in New Zealand.

 

The intention of making investments in Pool Lenders is to diversify the assets of the Issuer across a wider range of underlying loans than it could practically achieve by investing only in SPV Lenders directly. 

  • Blended first and second mortgage warehouse facility
  • Base rate of 9.5% p.a. plus 1 month BBSW, paid monthly in arrears – currently yielding 13.80% p.a. as at October 2024
  • Open-ended fund, redeemable by giving at least 12 months’ notice in writing

 

*Based on deployed funds only.
Excludes any cash position of Fund

The information in this document is not advice and provides general background information only. It is information given in summary form and does not purport to be all-inclusive or to contain all of the information that the recipient may require or request upon a due diligence if it wishes to proceed further. It is not intended to be relied upon as advice to the recipient and does not take into account the investment objectives, financial situation or needs of any particular recipient. These individual circumstances should be considered with professional advice when deciding if an investment is appropriate. Any recipient requiring or seeking legal, tax or other advice is responsible for obtaining such advice from their own advisors, and should do so before taking, or refraining from taking, any action in reliance on the information contained in this document. Any forward looking statements included in this document involve subjective judgment and analysis and are subject to significant uncertainties, risks and contingencies, many of which are outside the control of, and are unknown to, Pallas. In particular, they speak only as of the date of this document, and they are subject to significant regulatory, business, competitive and economic uncertainties and risks. Actual future events may vary materially from forward looking statements and assumptions on which those statements are based. Given these uncertainties, recipients are cautioned not to place reliance on such forward looking statements. Any past performance information provided in this document is not a reliable indication of future performance. Pallas gives no undertaking and is under no obligation to update these forward-looking statements for events or circumstances that occur subsequent to the date of this document. © Pallas 2023. All rights reserved. Pallas specifically prohibits the redistribution of this material and accepts no liability whatsoever for the actions of third parties in this respect. 

 

Pallas Capital is a leading partner to sophisticated investors providing superior risk-adjusted returns via direct exposure to secured real estate debt.

 

The Pallas Capital team has direct investment and development experience across market cycles and across the asset classes in which Pallas will invest. This knowledge, combined with its structured lending experience, is a unique combination that sets the group aside from other lenders.

 

Pallas Capital’s highly experienced executive team possess decades of Australian and global financial markets and real estate debt and equity experience including funds and asset management, law, investment banking, development and valuation, corporate finance, private equity, technology and accounting. The business strives to attract and retain talent that embody its values of integrity, transparency, agility and reliability, and that possess diverse backgrounds and skill sets that are complementary to the team as a whole.

 

For more information on Pallas Capital, visit pallascapital.com.au

 

Patrick Keenan brings to Pallas Capital over 35 years of experience as a lawyer, investment banker, owner/ manager of an international financial services group and investor/manager in various development projects.

 

Patrick commenced his career as a lawyer with Freehill Hollingdale and Page. After a period as a Director of Australian investment bank Dominguez Barry Samuel Montagu, he became one of three owner/managers of Prebon Yamane Group, with 1,650 staff in 24 cities around the world. He has invested in and managed various real estate projects since 1999 and is actively involved in the day-to-day activities of Pallas Group.

 

Patrick is a member of the Pallas Capital Investment Committee.

 

Dan Gallen commenced his property career with 10 years at Balmain, one of Australia’s largest independent debt originators and fund managers.

 

Over his career of 18 years, Dan has written and managed over A$3 billion in structured real estate transactions, acting over that period as lender, developer, investor and debt advisor and fund manager. Dan applies this breadth of experience in analysing and managing real estate debt and development transactions.

 

Dan is a member of the Pallas Capital Investment Committee.

 

Charles Mellick brings an in-depth knowledge of the property development industry, gained over 30 years, with a reputation for the delivery of high-quality projects.

 

Charles has funded and directed many residential and commercial projects across Sydney and Melbourne’s inner city suburbs. Charles has developed extensive industry networks and a comprehensive skill set of engaging professional firms servicing the development, construction and asset management sectors.

 

Charles is a member of the Pallas Capital Investment Committee.

 

Mark Spring has over 30 years’ experience in international capital markets encompassing broking, leadership and senior executive roles across a range of entities within the Asia Pacific region, including Prebon Yamane Group and BGC Partners.

 

Mark’s primary focus is growing Pallas’ distribution capabilities both in Australia and the Asia Pacific region by introducing and maintaining relationships with Asset Managers, Family Offices, High Net Worth Individuals and sophisticated investors.

30 June 2024
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31 March 2024
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30 September 2023
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31 March 2023
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31 December 2022
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