Investment Update

The borrower continues to work towards the refinance of the facility.

The project is now entering its final stages, with key works progressing towards completion. The concrete driveway is being finalised, while inground electrical works and fire services are nearing completion. Plumbing and electrical fit-off are well advanced, alongside the implementation of mechanical services. Finishing touches are in progress, including painting, glazing, and the fit-out of internal walls. Practical completion is expected to be achieved next month.

Tatura:
– Initial settlements have been delayed and are now expected to commence in mid-late April 2025 following the issuance of the Statement of Compliance (SOC).
– The borrower has reported 50 presales out of 60 remaining lots across Stages 1 and 2.

Morwell:
– Bulk earthworks for Stages 1, 2, and 3 are ongoing.
– 58 presales have been achieved across Stages 1-3 of the project.
– The Australian Government’s Housing Support Program has allocated $35.8 million to five projects aimed at fast-tracking housing in regional and metropolitan growth areas in Victoria. Funding is expected to have a direct benefit on the Morwell development.

The facility has now expired and ARK has reserved its right to put the borrower into default, whilst a new 12-month facility is arranged.

In December 2024, the Victorian Planning Authority (VPA) confirmed that the Ballarat North PSP will focus exclusively on the Core Area of the precinct, excluding the Expanded Area where the property is located.

A draft valuation report has been prepared, and discussions are ongoing between the borrower, development manager, and valuer to ensure that the latest VPA updates are accurately reflected in the final report. ARK will assess whether any adjustments to the facility are required once the report is finalised.

The borrower plans to hold the two remaining security properties as a land bank while due diligence on the Oakbank PSP continues. ARK intends to refinance the existing facility into a new 12-month facility in June 2026.

The borrower intends to strategically hold the property in the short to medium term whilst continuing to monitor the market. The planning overlay remains supportive of a major mixed use development on the site.

The facility reached financial close this month to fund the acquisition of ‘The Buckingham’ property and refinance the Sellicks Beach construction facility into a residual stock facility following project completion.

To date, 3 out of the 8 residual lots from Sellicks Beach have settled.

The sales campaign is progressing well with multiple groups active in the data room. Savills is engaging with potential buyers, including under-bidders and past interested parties, while also targeting local, offshore, and intermediary buyers. A new EDM has been sent out since the campaign first went live to maximise exposure and highlight key property features. The priority is to position serious buyers for strong, unconditional offers.

A 3-month extension to the facility has been finalised to provide additional time for the completion of remaining works and practical completion is currently expected in May-25.

Civil works are steadily progressing this quarter, following delays from inclement weather and council in in the previous year.

Stage 4 has achieved practical completion however council delays have pushed settlements into April 2025.

Bulk earthworks for Stages 5 to 7 are underway and are expected to conclude by the end of 2025. Civil works for Stages 5 and 6 are scheduled to commence concurrently in April 2025, with Stage 7 following a month later, and all stages expected to be completed by the end of the year.

The terms for the construction facility have been agreed with the borrower and the refinance is on track to be completed on or before the maturity date.

The majority of the sold lots within Stage 1 have now settled. ARK is currently negotiating with the borrower to refinance the remaining lots into a residual stock facility, which is anticipated to be finalised by the end of next month, aligning with the facility’s expiry date.

Road and drainage works have continued in Stage 2 whilst the sewer reticulation works are close to completion.

The property has been inspected following Cyclone Alfred, with no damage reported.

The borrower has successfully completed plan sealing, allowing for title issuance, which is expected in early April. Settlements will be called 14 days after title registration.

The borrower conducted a six-week EOI campaign with Savills, receiving offers ranging from $20 million to $28 million with varying structures.

To support the borrower in fully considering these offers (all of which exceed the valuation), ARK has provided a 4-month facility extension until 31 July 2025.

Following the recent inclement weather, including the impact of Cyclone Alfred, an inspection was conducted confirming no damage to the property. The draft civil works contract has been agreed and construction costs have been confirmed. It is expected that the civil contractor will mobilise on site in April.

The borrower submitted the planning application for the proposed 213-lot subdivision in early January and is still awaiting preliminary council feedback.

Precast panel walls have been installed for 15 warehouses out of 24, roof sheeting is complete for 11 warehouses and warehouse slabs are now poured.

The warehouses are being marketed by two sales agents, with a recent spike in interest expected to translate into additional sales.

The borrower has successfully achieved development approval for the Salisbury Plain property and will now commence discussions with civil contractors in preparation for the tender process to finalise the contract price.

Demolition of the site has been successfully completed. A remediation contract has been executed, with works now underway and expected to be finalised in May 2025.

Initial remediation costs remain in line with expectations and further clarity on the required level of remediation is anticipated by mid-late April 2025, midway through the forecasted 8-week timeframe.

The borrower continues to make progress with an amendment to the Local Structure Plan, with the Stage 1 subdivision application now submitted, keeping the project on track to achieve approvals by Q2 2025.

An inspection was conducted post-Cyclone Alfred which confirmed that the property sustained no damage. The borrower is continuing discussions with major banks to secure a refinance, which is expected to accelerate as the facility term approaches its end.

The civil contractor mobilised on site during the month although later than originally anticipated. Following several productive meetings with council and the relevant authorities, feedback was received which necessitated changes to documentation and ultimately delayed the contractor’s ability to mobilise on site. With the civil contractor now established on-site, work can progress without delay.

The facility reached financial close this month, and civil works have already commenced on-site. An inspection was conducted following Cyclone Alfred where no structural damage to the property was identified. Operational works have now resumed following the inclement weather.

The borrower continues to work towards the refinance of the facility.

With the building structure complete, the project’s focus has shifted to the internal wall installation, wall cladding, and service rough-ins. Over 80% of the contract works have been completed to date and progress remains on schedule.

Tatura:
– Initial settlements are expected to commence in mid-late March 2025 following the issuance of the Statement of Compliance (SOC) this month.
– The borrower has reported 50 presales out of 60 remaining lots across.
– Stages 1 and 2, reflecting strong demand.
– 53 settlements of 55 lots have been completed to date from Stage 1.

Morwell:
– Bulk earthworks for Stages 1, 2, and 3 are ongoing.
– 58 presales have been achieved across Stages 1-3 of the project.
– The Australian Government’s Housing Support Program has allocated $35.8 million to five projects aimed at fast-tracking housing in regional and metropolitan growth areas in Victoria. Funding is a strong likelihood to have a direct benefit on the Morwell development.

As the facility is unlikely to be repaid by the maturity date in March, ARK has provided the borrower with indicative terms for an extension until the end of October 2025.

The Victorian Planning Authority (VPA) recently confirmed that the Ballarat North PSP will focus exclusively on the Core Area of the precinct, excluding the Expanded Area where the property is located. In response, ARK has instructed a re-valuation of the property to assess the impact of this exclusion on its land value. Once the report is received, anticipated in March 2025, ARK will evaluate whether any adjustments to the facility are necessary.

The borrower plans to hold the two remaining security properties as a land bank while due diligence on the Oakbank PSP continues. ARK has commenced assessing a refinance of the facility, which includes evaluating the Oakbank PSP.

The property is under contract, with settlement scheduled to occur in September 2026. This allows for a seamless refinance into a new facility with ARK or an alternative lender at maturity which aligns with the settlement timeline.

The borrower intends to strategically hold the property in the short to medium term whilst continuing to monitor the market. The planning overlay remains supportive of a major mixed use development on the site.

Following a review of proposals from multiple agents, Savills have been appointed as the new sales agent. The sales campaign is now live and scheduled to run for six weeks. ARK will continue to underwrite investor interest.

The borrower has received planning approval which has activated the site for development. The facility is expected to be refinanced into a construction facility with ARK before the maturity date, which is currently under assessment.

The acoustic barrier works have now been completed. Plan sealing has been lodged and is currently awaiting approval from the Department of Transport. Once approved, title registration is expected to follow, with settlements commencing 14 days thereafter. ARK anticipates the facility will be repaid in full by the end of March 2025.

The operational works application has been approved, enabling Shadforth to finalise the civil contract. Once the contract is executed, expected in early March, Shadforth will mobilise on-site approximately two weeks later.

The borrower submitted the planning application for the proposed 213-lot subdivision in early January and is still awaiting preliminary council feedback.

Strip footings have now been completed whilst precast panel installation and roofing have continued this month. The warehouse slabs are scheduled to be poured in early March 2025.

The borrower has made substantial progress in securing development approval for the Salisbury Plain property and anticipates receiving formal approval in early March.

Demolition of the site has been successfully completed. A remediation contract is currently under review, with execution expected to occur in March 20225 and works scheduled to commence shortly thereafter.

Indicative remediation costs remain in line with expectations.

The borrower continues to progress an amendment to the Local Structure Plan (LSP). The Stage 1 subdivision application will be lodged in March 2025, with approvals for both the LSP amendment and subdivision still on track to be received in Q2 2025.

The borrower continues to hold discussions with major banks to secure a refinance offer for the property.

The borrower has been working closely with the project team to address all outstanding requirements necessary for full construction commencement. This process involves securing various approvals and sign-offs from authorities, which has taken longer than anticipated. The civil contractor is set to mobilise on-site in early March in preparation for the commencement of works.

The facility has been extended for an additional 12-month term with a lower LVR, following an updated valuation that confirmed an increase in value.

The structure of the building was completed at the end of last year and practical completion is currently anticipated to be achieved in mid-April. The facility has been extended until the end of June 2025 to provide additional time for the remaining works to be completed and settlements to occur.

Tatura Stage 2 civil works are well progressed with practical completion achieved on internals, and the Statement of Compliance (SOC) is expected in February 2025, while approval is being sought from the Department of Transport and Planning (DTP) for the intersection construction; the borrower has reported 50 presales out of 60 remaining lots across Stages 1 and 2, reflecting strong demand, and 53 settlements of 55 lots have been completed to date from Stage 1. Morwell Bulk earthworks for Stages 1, 2, and 3 are ongoing, with 58 presales achieved across the stages and marketing efforts resumed, attracting an additional 9 sales since the previous month.

The Victorian Planning Authority (VPA) Business Plan 2024–2025 identifies the Ballarat North Precinct Structure Plan (PSP) as one of four key Housing Statement projects in regional cities and towns.

According to the latest update from the VPA, they will prepare and finalise the Ballarat North PSP focusing solely on the Core Area of the precinct and not the Expanded Area containing the property.

However, planning for the Core Area will incorporate considerations for future-proofing the Expanded Area, recognising its potential for additional growth as a logical extension for the region.

ARK is currently assessing the impact of the exclusion from the Ballarat North PSP on the land value. If deemed necessary, ARK will consider instructing a re-valuation to be completed to determine any required adjustments to the facility.

The borrower intends to retain the two remaining security properties as a land banking opportunity while due diligence continues on the Oakbank PSP. They are also considering the option of selling the properties during the facility term.

The property is under contract, with settlement scheduled to occur in September 2026. This allows for a seamless refinance into a new facility with ARK or an alternative lender at maturity which aligns with the settlement timeline.

The borrower intends to strategically hold the property in the short to medium term whilst continuing to monitor the market. The planning overlay remains supportive of a major mixed use development on the site.

Settlement which was initially scheduled for mid-December, did not proceed as planned. Consequently, ARK has appointed Mervyn Kitay of Worrells WA as receiver and will continue to work with the purchaser’s legal representatives to facilitate the settlement as swiftly as possible. The purchaser has paid an additional $100,000 deposit, with ARK having received both the initial deposit and the latest top-up, bringing the total funds held to $260,000. Additionally, ARK maintains a substantial interest reserve balance of $240,000 which is equivalent to approximately 15 months of interest.

Out of the 42 residential lots, 29 have been sold, highlighting the success of the marketing campaign to date. Since December 2024, an additional 2 sales have been achieved and active discussions ongoing with prospective buyers. Settlements have commenced, with the first batch of allotments successfully reaching settlement at the end of January 2025.

ARK currently controls the site as the mortgagee in possession. A refreshed marketing campaign aimed at increasing property visibility and attracting potential buyers is expected to go live in February and is anticipated to run for 6 weeks. Several sales agent proposals to lead the new sales campaign are currently under review. ARK will continue to underwrite interest to investors.

Steady progress is being made on site with demolition now fully completed. Delays experienced to date have been due to the late issuance of the Construction Certificate (CC), required to ensure compliance with building codes and development consent conditions.

It is anticipated that a short term extension to the facility will be required to provide additional time for the remaining works to be completed and the subsequent settlement period.

The estate has seen strong sales performance, with the Gawler market showing a positive response. A total of 183 presales have been secured across Stages 4 to 7, with all lots in Stages 4 to 6 under contract, except for one.

Stage 4 has now achieved practical completion, with settlements expected to commence in February 2025.

Bulk earthworks for Stages 4-7 have commenced, with civil works for Stages 5 to 7 scheduled to be completed concurrently and anticipated to conclude by the end of 2025. Civil works for Stage 5 are expected to begin in February 2025.

The borrower has finalised the Land Management Agreement (LMA) with the local council and is now in the final stages of planning approval which is expected in early February 2025. The proposed subdivision will be funded by ARK, and works are forecast to commence in early April 2025. This will enable refinancing of the facility on or before the termination date.

The facility has been extended until the end of March to provide adequate time for the scheduled settlements to be completed. There are 4 lots due to settle in February however full repayment of the facility will be achieved once 3 lots have settled.

Practical completion on Stage 1 has now been achieved and titles are expected to be issued early next month with settlements to commence shortly thereafter. Stage 2 works are underway with bulk earthworks and sewer works completed to date.

The project is progressing towards practical completion, with the remaining acoustic barrier works anticipated to conclude in early February. The Department of Transport is scheduled to inspect the completed works upon their finalisation. Additionally, the council has requested rectification works, which are currently being completed by the builder. Plan sealing and title registration are expected to occur in February, with settlements anticipated to follow shortly thereafter.

The borrower is still in the process of reviewing several offers and is considering whether to proceed with a sale or to advance the proposed development.

Demolition and site clearing have been completed on site. However, the borrower was required to amend the operational works application, delaying the finalisation of the civil contract. The application is expected to be finalised in early February, enabling the civil contract to be signed and construction to commence promptly thereafter.

The borrower lodged the planning application for the proposed 213-lot subdivision in early January and are awaiting preliminary feedback from council.

Civil works are moving ahead of schedule. Precast panels are being installed in stages, and roofing is added as each stage of precast is completed. This work is expected to continue until February 2025, by which time the warehouse slabs will be poured.

The borrower is actively working to secure development approval for both properties, with approval for the Salisbury Plain property anticipated before March.

Demolition activities continue on-site, with completion now expected in early February 2025. Remediation tenders have been received and are currently under review, with initial indicative cost aligning with expectations.

Since settlement, the borrower has continued progressing an amendment to the Local Structure Plan (LSP). The application has been referred to the Department of Planning, Lands and Heritage (DPLH), the final decision-maker. The borrower and DPLH have held multiple meetings to address comments and resolve any issues. The Stage One subdivision application is scheduled for lodgement in Q1 2025, with approvals for both the LSP amendment and subdivision anticipated by the end of Q2 2025.

The borrower continues to hold discussions with major banks to secure a refinance offer for the property.

The facility reached financial close at the end of 2024. Due to the January holiday period and the absence of key personnel, works have not yet commenced. The civil contractor is expected to mobilise on-site in late February, with construction anticipated to span 12 months.

The borrower has advised that additional time will be required to complete the refinance into their SMSF. ARK anticipates that the facility will need to be extended for a further 12-months. An updated valuation is expected to confirm an increase in value which will reduce the LVR on the facility.

Works have continued to progress as anticipated. The structure of the building is on track to be completed by the end of the year, marking a significant construction milestone. The slab on ground and Level 1 slab are both 95% complete whilst the level 2 slab is 80% complete and the precast panels installation is 85% complete.

Tatura

Stage 2 civil works are progressing well, with practical completion expected by February 2025. The borrower has successfully secured 101 presales out of 113 available lots for both Stages 1 and 2. To date, 51 out of 55 lots in Stage 1 have been settled, demonstrating strong demand and steady progress on the project.

Morwell

Bulk earthworks for Stages 1, 2, and 3 are currently underway at Morwell. To date, 49 presales have been secured across all three stages of the project. Marketing efforts have resumed, generating immediate interest and sparking discussions on multiple allotments, further boosting the project’s momentum.

The Victorian Planning Authority (VPA) Business Plan 2024–2025 identifies the Ballarat North PSP as one of four key Housing Statement projects in regional cities and towns.

An update to the Ballarat North PSP, incorporating the Expanded PSP Area that includes the property, is expected to be released in December 2024. The timeline for gazettal of the Ballarat North PSP remains unchanged, with completion anticipated in mid to late 2025.

The VPA has indicated that if the Ballarat North PSP is included in the Expanded PSP Area, the amended zoning is expected to be finalised in the first half of 2025.

The borrower intends to retain the two remaining security properties as a land banking opportunity while due diligence continues on the Oakbank PSP. They are also considering the option of selling the properties during the facility term.

The property remains under contract with settlement scheduled for September 2026. Notably, there was a sale of an adjacent property at 562 & 600 Leakes Road in October for a total of $100m which is equivalent to $2.1m per hectare, this is approximately $700k per hectare higher than the latest valuation of the subject property.

The Borrower continues to explore several development scheme options.

The property remains under contract, with the sales agent confirming that the incoming purchaser is on track to settle in mid-December.

Civil works have been completed, with practical completion achieved on 25th November 2024.

A total of 27 out of 42 residential lots have been sold, showcasing the success of the marketing campaign to date.

Initial settlements are anticipated to commence in late December.

ARK has now assumed control of the site as the mortgagee in possession. The sales agent will continue to actively work with interested parties to secure a sale of the property at an acceptable price.

Heavy machinery continues to operate on-site, ensuring steady progress in the civil works phase.

Several prospective purchasers, working alongside a reputable local builder, are progressing through the design phase of their projects to implement their plans following the land acquisition.

Sales activity across the estate continues to perform strongly, with positive reception in the Gawler market. Stages 4 to 7 have achieved 183 presales, with all lots in Stages 4 to 6 contracted except for one.

Civil works for Stage 4 are progressing well, with practical completion anticipated by the end of December 2024 and settlements scheduled for January 2025.

Bulk earthworks commenced this month, with civil works for Stages 5 to 7 set to start simultaneously and expected to be completed by the end of 2025.

Updated planning documentation was submitted to council at the end of November in response to a final request for information.

Council has indicated that planning approval should be received prior to Christmas or in early January 2025.

There are several settlements which are scheduled to occur in December. Based on the latest settlement schedule, ARK anticipates that the facility will need to be extended for a further 30 days.

Due to inclement weather, there has been a slight delay to practical completion which is now anticipated to occur by mid-December.

Settlement of the Stage 2 construction facility took place during the month.

The civil contractor has demobilised from the site and the remaining works are well progressed. There has been a minor delay to practical completion due to inclement weather during the month.

Works on site during the month include Acoustic wall post installation and Landscaping.

Due to the weather delays, title are expected to be issued in January with settlements to follow in February.

The sales campaign has successfully concluded, generating significant interest.

The borrower is now evaluating their options, deciding between proceeding with a sale or advancing the proposed development.

Site clearing has been completed and Shadforths are expected to commence the civil works once the civil contract is finalised which is imminent.

The borrower is working with various consultants to finalise design and engineering plans, aiming to submit planning permit documentation in the first quarter of 2025.

Civil works are progressing ahead of schedule, with strip footings completed and stormwater tanks installed. Precast panel installation is scheduled for early December, followed by structural steel and roofing.

There has been strong demand for industrial sites in Adelaide, with notable interest in the lots developed as part of the project.

Following financial close, the borrower continues to focus on obtaining development approval for both properties.

The facility reached financial close during the month. Demolition activities have commenced on-site and are progressing as planned, with completion anticipated by December 2024.

The facility reached financial close during the month. The borrower will now seek to obtain development approval during the facility term for the proposed development of 184 lots.

The facility reached financial close this month, and the borrower will advance discussions with several major banks to secure a refinance offer during the facility term.

The borrower continues to work towards the refinance of the facility.

Work on site has progressed steadily this month, despite minor delays from inclement weather. The Level 1 slab is now 80% complete, with Level 2 reaching 60%, and approximately 70% of the precast panels have been installed.

The recent completion of the ramp pour marks a milestone for the project.

Tatura

Stage 2 civil works are progressing well, following the practical completion of Stage 1. The borrower has secured 95 presales out of 113 available lots for both Stages 1 and 2. Additionally, 46 settlements have been successfully completed to date for Stage 1.

Morwell

Bulk earthworks for Stages 1, 2, and 3 are currently ongoing at Morwell, with a total of 49 presales achieved across all three stages of the project.

The Ballarat North PSP amendment to include the Expanded PSP Area containing the property is expected to be announced by the end of 2024. Gazettal of the Ballarat North PSP is unchanged and anticipated to occur in mid to late 2025.

The Victorian Planning Authority has advised that if the Ballarat North PSP is included in the Expanded PSP Area, amended zoning will be completed in H1 2025.

The borrower plans to hold the two remaining security properties as a land banking opportunity while due diligence progresses on the Oakbank PSP. They are also exploring the potential to sell the properties within the facility term.

The property remains under contract with settlement scheduled for September 2026. Notably, there was a sale of an adjacent property at 562 & 600 Leakes Road in October for a total of $100m which is equivalent to $2.1m per hectare, this is approximately $700k per hectare higher than the latest valuation of the subject property.

The Borrower continues to explore several development scheme options.

The property has been sold and will settle in December, repaying the facility in full.

Significant progress in the civil works was achieved on-site during the month, with practical completion scheduled for November 2024.

With 28 of the 42 residential lots already presold, the strong demand for Sellicks Beach allotments is clearly evident.

The borrower has advised that following the lodgement of the survey plan in the middle of October, titles have now been issued.

Settlements will commence in early November to progressively repay the facility.

The sales agent is actively working with interested parties to secure a sale of the property at an acceptable price.

Heavy machinery is active on-site, making steady progress with civil works.

Several interested purchasers are progressing through the design phase of their builds following land acquisition to bring their vision to life.

Sales activity across the estate has been strong and well-received within the Gawler market. Stages 4 to 7 currently have 180 presales, representing over 80% of the available lots in these stages.

Key construction activities are progressing on-site, including common service trench installations, rock excavation, and the construction of retaining walls. Road and kerbing works are also ongoing, contributing to the steady advancement of the development.

Practical completion of civil works on Stage 4 is anticipated by the end of December 2024, with settlements to occur shortly thereafter.

The City of Playford has experienced unexpected delays due to a surge in planning applications throughout 2024. The borrower aims to secure development approval by November.

Once approved, the borrower plans to appoint a civil contractor and commence site activation for construction in the first quarter of 2025.

Titles have been issued for the lots within the project, and several settlements have already occurred. Additional settlements are anticipated in November.

Works on site have continued to advance, with practical completion anticipated by the end of next month. The first presales milestone has now been met ahead of the scheduled due date.

Works on site are being finalised, with practical completion expected in early November.

This month, works on site have included the installation of acoustic wall posts, the completion of stormwater, sewer, and water reticulation works, and the nearing completion of external sewer works. Additionally, external road rectification and stormwater works have now commenced.

The civil contractor is anticipated to demobilise from the site shortly. Plan sealing was lodged on October 30, 2024, with titles expected to be received during December.

The sales campaign has concluded which received strong interest. The borrower is now assessing their options, considering whether to proceed with a sale or to advance the proposed development.

Initial works on site are progressing well, with house demolition completed and site clearing underway.

The civil construction tender process has concluded and the contract has been awarded to Shadforths, a highly experienced contractor. Shadforths recently completed a project in Deception Bay, QLD which was funded by ARK.

Following settlement of the property in September, the borrower has commenced the development application process for the proposed 213-residential subdivision.

The facility reached financial close this month. Civil works are progressing ahead of schedule, with the demolition of existing structures completed and strip footings set to be poured early November.

Presales have been strong, with 9 out of 24 lots presold.

The facility reached financial close this month. Civil works are progressing ahead of schedule, with the demolition of existing structures completed and strip footings set to be poured early November.

Presales have been strong, with 9 out of 24 lots presold.

The facility reached financial close during the month. Demolition activities have commenced on-site and are progressing as planned, with completion anticipated by December 2024.

The facility reached financial close during the month. The borrower will now seek to obtain development approval during the facility term for the proposed development of 184 lots.

The facility reached financial close this month, and the borrower will advance discussions with several major banks to secure a refinance offer during the facility term.

In addition to the completion of the slab on each level and the installation of the precast panels, several other works were in progress, including the installation of fire services, plumbing rough-ins, electrical rough-ins, structural steel for the roof, and roofing.

Provided that there are no delays, it is expected that the structure of the building will be completed by the end of the year.

Works have continued to progress as anticipated. The structure of the building is on track to be completed by the end of the year, marking a significant construction milestone. The slab on ground and Level 1 slab are both 95% complete whilst the level 2 slab is 80% complete and the precast panels installation is 85% complete.

Tatura

Stage 2 civil works are continuing after the practical completion of Stage 1.
Sales have been strong, with the borrower securing 95 presales out of the 113 available lots across Stages 1 and 2. To date, 46 settlements have been completed from Stage 1.

Morwell

Bulk earthworks for Stages 1, 2, and 3 are ongoing at Morwell, and sales remain strong with 49 presales achieved across these stages.

The Ballarat North PSP amendment to include the Expanded PSP Area containing the property is expected to be announced in Q4 2024. Gazettal of the PSP is anticipated to occur in mid to late 2025.

The Victorian Planning Authority has advised that if the Ballarat North PSP is included in the Expanded PSP Area, amended zoning will be completed in H1 2025.

The borrower will retain the two remaining security properties as a land banking opportunity whilst the Oakbank PSP advances through due diligence. The borrower is also exploring the option of selling the properties during the facility term.

The property remains under contract with settlement scheduled for September 2026. This will facilitate a straightforward refinance from ARK or an alternative lender on or prior to maturity that will align with the settlement date of the incoming purchaser.

Financial close for the refinance into a new 12-month land facility occurred during the month.

The property has been sold and will settle in November, repaying the facility in full.

The project is progressing well with practical completion expected on 28 November 2024. Currently, 28 out of the 42 residential lots have been presold, representing 3 additional sales compared to the previous month.

The property has now been sold with settlement scheduled to occur at the end of October which will repay the facility.

All construction works are complete and the borrower is centering their efforts on selling the remaining 6 lots.

The borrower has advised that they are expecting a large portion of the facility to be repaid at the end of October through settlements with the balance of the facility to be repaid at the end of November.

The sales campaign to sell the property continues with no acceptable offers received to date. The sales agent continues to work with interested parties to finalise a sale of the property at an acceptable sale price.

Demolition and site clearing is complete and the subdivision civil works have commenced.

Several interested purchasers continue to advance through the design phase.

The largest allotment within the project has an agreed sale price c. 15% above the valuation. Formal execution of the sales contract is imminent, with plans and designs now finalised.

Sales activity has been strong across the estate and has been well received within the Gawler market. From Stages 4-7, there are currently 180 presales , representing over 80% of available lots across those stages.

Civil works continue to progress across Stage 4 of the project.

Updated planning documentation was submitted to council at the end of November in response to a final request for information.

Council has indicated that planning approval should be received prior to Christmas or in early January 2025.

There are several settlements which are scheduled to occur in December. Based on the latest settlement schedule, ARK anticipates that the facility will need to be extended for a further 30 days.

Due to inclement weather, there has been a slight delay to practical completion which is now anticipated to occur by mid-December.

Settlement of the Stage 2 construction facility took place during the month.

The civil contractor has demobilised from the site and the remaining works are well progressed. There has been a minor delay to practical completion due to inclement weather during the month.

Works on site during the month include Acoustic wall post installation and Landscaping.

Due to the weather delays, title are expected to be issued in January with settlements to follow in February.

The sales campaign has successfully concluded, generating significant interest.

The borrower is now evaluating their options, deciding between proceeding with a sale or advancing the proposed development.

Site clearing has been completed and Shadforths are expected to commence the civil works once the civil contract is finalised which is imminent.

The borrower is working with various consultants to finalise design and engineering plans, aiming to submit planning permit documentation in the first quarter of 2025.

Civil works are progressing ahead of schedule, with strip footings completed and stormwater tanks installed. Precast panel installation is scheduled for early December, followed by structural steel and roofing.

There has been strong demand for industrial sites in Adelaide, with notable interest in the lots developed as part of the project.

Following financial close, the borrower continues to focus on obtaining development approval for both properties.

The facility reached financial close during the month. Demolition activities have commenced on-site and are progressing as planned, with completion anticipated by December 2024.

The facility reached financial close during the month. The borrower will now seek to obtain development approval during the facility term for the proposed development of 184 lots.

The facility reached financial close this month, and the borrower will advance discussions with several major banks to secure a refinance offer during the facility term.

There have been some delays in the issuance of planning approval and this is now expected in mid-October.

Post approval, the borrower intends to appoint a civil contractor and to activate the site for construction in the first quarter of 2025.

There have been delays in the issuance of titles and these are now expected to be issued in October. Settlements are anticipated to commence in early November.

Works continue to progress in line with expectations. Advancements achieved during the month include the progression of the wetland construction which is now 95% complete and the continuation of the civil works including kerb and channelling.

Works on site have continued to progress throughout the month, including the completion of earthworks, internal sewer, water, stormwater, and road works.

The acoustic barriers are 70% complete, internal electrical and gas installations are finished, the external sewer is nearing completion, and the topsoil respread is ongoing.

A sales campaign is currently in progress to gauge interest in the property, as the borrower evaluates whether to move forward with the sale or proceed with the proposed development.

Demolition has been completed on site including power abolishment and demolition of the existing dwellings.

The civil construction tender process was run during the month with several highly experienced civil contractors being considered. The contract is expected to be awarded in early October.

The facility reached financial close during the month. The borrower will now look to obtain development approval over the facility term for the proposed development of 213 residential lots.

The borrower continues to work towards the refinance of the facility.

Construction works are progressing in line with expectations.

The borrower has achieved several further sales with the contracts to be executed imminently. As construction continues to progress, sales activity is expected to increase. This will be further strengthened by the completion of the display suite unit, allowing potential purchasers to view a finished product.

Tatura

Stage 1 has achieved practical completion, and work for Stage 2 is currently underway.
Sales have been robust, with the borrower securing 99 presales out of 113 available lots for both Stages 1 and 2.
Specifically, Stage 1 had 53 presales out of 55 lots, while Stage 2 had 46 presales out of 58 lots. Settlements for Stage 1 are ongoing, with 46 completed in August 2024.

Morwell

Bulk earthworks for Stages 1, 2, and 3 are continuing at Morwell, with a highly regarded civil contractor appointed for the project.

Sales remain strong, with 49 presales achieved across Stages 1 through 3.

The Ballarat North PSP amendment to include the Expanded PSP Area containing the property is expected in Q4 2024. Gazettal of the PSP is anticipated to occur in mid to late 2025.

The latest discussions held with the Victorian Planning Authority provide the following updates: If the Ballarat North PSP includes the Expanded PSP Area, amended zoning will be completed in the first half of 2025. The finalization of the Ballarat North PSP is expected by late 2026.

The borrower will hold the remaining two security properties as a land bank opportunity whilst the Oakbank PSP continues to progress through the due diligence phase. Alternatively, the borrower may consider selling the properties during the facility term.

The property has been sold with settlement scheduled for September 2026 which should facilitate a straightforward refinance from ARK or an alternative lender on or prior to maturity to align with the settlement date of the incoming purchaser.

The borrower has accepted terms for a refinance into a new 12-month land facility. The refinance will be completed on or prior to the maturity date.

An additional 10 sales were achieved during the month, with 25 of the 42 residential lots within the project presold and a further 4 on hold. Increased sales have been achieved through a re-engagement of marketing channels. Real estate agents continue to conduct monthly Saturday open days which have been attracting around 25-30 people featuring a coffee cart and free food. This is later followed by private inspections by appointment during the week.

The borrower has placed the property on market for sale with the sales campaign expected to conclude in mid-September.

All construction works have been completed with maintenance inspections by council now complete.

The borrower is expecting to issue notification of upcoming settlement to purchasers in September with settlements estimated to commence in early October.

The borrower has placed the property on market for sale with the sales campaign expected to conclude in mid-September.

The project continues to attract interest, with several interested purchasers advancing through the design phase. The largest allotment within the project has an agreed sale price 14% higher than the valuation. Formal execution of the sales contract is imminent, with plans and designs now finalised.

Demolition and site clearing is complete, with the earthworks now commenced.

ARK successfully refinanced the previous land facility into a construction facility to execute Stages 4-7.

The estate has a strong record of sales activity and has been well received within the Gawler market. Stages 1-3 have been fully sold whilst there are currently 180 presales within Stages 4-7, representing over 80% of available lots sold.

Works continue to progress across Stage 4 of the project.

The civil works have been completed.

Titles have now been registered with settlement of 34 salesto commence 20th September with the loan fully repaid by this date.

The borrower is finalising discussions with council on the adjustment to the planning scheme. Development approval is now expected by the end of September. This will allow the borrower to initiate a sales campaign in the final quarter of 2024, which is expected to generate interest in the estate before construction commences in 2025.

Works have now been completed and titles are expected to be issued in early September. Settlements are anticipated to commence shortly after titles have been issued.

The contractor has made significant advancements during the month. Sewer works have been completed, construction of the wetland is approximately 80% complete and civil works are ongoing.

Sales momentum remains strong and the borrower has now satisfied the first presales milestones several months ahead of the deadline.

Works on site continued to progress during the month, including the completion of the road,
near-completion of the kerbs, and the commencement of footpaths. The installation of retaining walls
has been completed, and stormwater, sewer, and water reticulation works are nearing completion.

A leading Australian building company has been selected as the preferred contractor, with a highly experienced local firm appointed as the project manager.

Unilodge, Australia’s leading purpose-built student accommodation (PBSA) operator, is the preferred operator for the finished project.

ARK reached financial close on the facility during the month.