Has anyone heard or invested in Lion Property Group?

Discussion in 'Investment Strategy' started by Rajiv Srivastava, 24th May, 2020.

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  1. TMNT

    TMNT Well-Known Member

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  2. Shazz@

    Shazz@ Well-Known Member

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    Out of curiosity, I had a look at their website to see what they actually do.
    Sadly, I know a very close friend who invested $250k into something very similar. 3 years later.. still no land or building.
     
  3. LPG-Leo

    LPG-Leo New Member

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    Just to give some clarification, we've completed construction on 5 projects in the last 24 months, 3 in the last 12, with a GRV of $10.5 million. Of the 41 properties brought to market we have accomplished 100% sell through, even setting record sales prices during covid. Our preferred builders for our projects are all members of the master builders association and HIA award winners. It's fine to share your opinion, just make sure it's factual.
     
  4. Harris

    Harris Well-Known Member

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    $10.5m GRV?

    mate, I don't know if it's something to be very proud of or if it's a warning sign - I am undertaking multiple projects currently (100% myself - no funders) and the largest single project alone is over $10.5m in GRV - and there are 2 more in progress. I don't mean no disrespect or blowing my own trumpet but if that's your 'major' accomplishment, then it leaves a lot to desire for... if you are representing yourself as a significant game in town that investors are asked to part money for...

    I have seen countless inner blue chip Mel and Syd suburbs in the past 2 months achieving that GRV from a single dev of 2 new TH.

    Similarly re record prices achieved during covid, most of the regions and a lot of cap cities were achieving record prices during covid.

    I still wish you guys luck but if you are asking for funds from investors, I believe you should have a lot bigger resume than a GRV of $10m in 12 months! or record setting prices during Covid.

    Tell us about who the team is, their background, list all the potential pitfalls of investing and the risks that investors could face as a result of investing in an unregulated product.

    Given, you have used ASIC reg as a badge of honour tells me that your average investor is very unsophisticated and might get mislead and they need to be aware of the risk of losing some/ all of their investment. Good luck
     
  5. Prash_57

    Prash_57 New Member

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    Hi Rajiv, wondering did you go ahead with the investment with Lion Property
     
  6. Whale

    Whale Member

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    Hi Rajiv,
    This is a relatively young company, with 5 complete and 17 in-process projects. Investors supply the capital for the land; Lion then use the land's value to borrow from the bank for construction. As construction costs multiples more than the land, should the SPV go bankrupt, investors are the last on the list, and least likely to be made whole.

    It's my humble opinion that Lion are genuine in their endeavors, but have not been through any macro changes, only kicked off during covid; and therefore not stress tested.
    The returns are mediocre for the risk.
    Their marketing material is a little dishonest re risk.
    They have no need or desire to validate their % return claims. But I'd hazard a guess they're true because prior investors would call B.S. if they saw false returns plastered on the website.

    I wouldn't write Lion off, perhaps invest only what you can afford to lose -- either that or throw it in bitcoin. potato patato