A nationwide developer with a growing managed property bond portfolio has successfully repaid £3.4 million to its initial investors.
Headquartered in London, HJ Collection launched its first asset-backed property investment bond in 2019, offering High Net Worth and Sophisticated investors attractive returns over a 2-year period.
Having raised over £15 million during the last 24-months, the property bond provider has since developed out a number of commercial to residential units across the UK, including sites in Braintree, St Helens and Barnsley.
As a result, initial investors have now been repaid and have gained returns of between 10 – 12 per cent, with later investments to be paid over the next 18 months.
The firm’s successful repayment of its investors can be partially attributed to its effective response to the ongoing COVID-19 pandemic and capability to maximise Government Schemes, such as Permitted Development Rights, to expand its managed portfolio.
Reece Mennie, Founder and CEO of HJ Collection, said: “Paying back our investors, complete with high levels of interest over the past two years, is a testament to the innovation and reliability of our property-backed loan note system.
We have always maintained that bricks and mortar provide investors with a great deal of security, especially when investments are diversified across a varied portfolio of contractors and developers. Given that COVID-19 has dominated much of HJ Collection’s lifetime since our foundation in 2019, our investors’ returns cement the dependability of our strategy and approach.
Having weathered the pandemic and provided our investors with above-average returns, we look forward to the challenges of the future, secure in the knowledge that we have not only repaid capital, but that we have successfully established HJ Collection as a leading and trusted brand within the alternative property investment sector.”
HJ Collection’s unique property bonds allow investors to generate strong returns by lending capital to property development companies in exchange for a fixed rate of interest over a fixed period.
The success of the initial bond has inspired the launch of their new follow-on asset-backed property bond, due to be announced in September 2021.