FRP Capital Brickworks Information Memorandum July 2023 - Flipbook - Page 26
Brickworks Marketplace
Information Memorandum
25
Fees & Charges
The table sets out a summary of the fees
payable (excluding GST) to the Trustee
and the Manager in respect of the Trust.
For full details of the fees that are payable
under the Trust Deed, Investors should
refer to the Trust Deed for the Trust, which
is available by contacting the Manager.
ARRANGER FEE
This fee is payable from the Assets of the Fund to
the Manager in consideration of services provided by
the Manager, including sourcing the Investment Property.
A fee of between 1-2% (GST exc.) of the GAV.
The Manager will use this fee by way of set-off, for Units in the Trust.
INVESTMENT MANAGEMENT FEE
This fee is payable to the Manager from the Assets
of the Fund for managing the Trust.
A fee of 0.8% per annum of the gross Asset value of the Trust.
The fee is calculated and accrued daily and payable monthly in arrears
within 7 days of the end of each month by the Trust. Should any fees be
deferred, the Manager will have the right to claim any deferred fee at a
later date within the Term of the Trust.
PERFORMANCE FEE
This fee rewards the Manager involved in increasing
Unitholders’ returns.
15% of the amount by which the IRR to Investors exceeds 12.5%.
Paid on the removal or retirement of the Manager, the sale of the
Property, withdrawal from the Trust by a Unitholder, a merging of the
Trust with another trust, the stapling of the trust with another entity, the
extension of the Term, or completion of a Trust review and/or the listing
of the Trust on an exchange.
LEASING FEE
For New Leases, the fees payable to the Manager and/or any
third party leasing agent involved in a leasing deal for the
Property will be: For renewal of an existing Lease, the fee will be:
15% of the average annual gross rent for the initial term of the
Lease. 50% of the fee for a New Leases (per above).
Payable 50% upon signing of a lease or an agreement for lease, with the
balance payable on the earlier of the tenant taking possession or on the
commencement of the lease.
MARKET REVIEW FEE
For negotiating market rent reviews in relation to existing Leases.
15% of the increase in gross annual rent achieved.
Payable from the date that the tenant is required to pay the
reviewed rent.
MARKETING FEE
Up to the value of $150,000.
These costs are paid to the Manager and/or other third party service
providers from the Assets of the Fund.
PROPERTY MANAGEMENT FEE
Should the Trustee or a related entity seek to replace the third
party property manager’s services in whole or in part, it will be
entitled to do so at rates that are no higher than the market rates.
At competitive market rates.
These costs are payable as an outgoing of the Property and are paid
from the Funds Assets.
DEVELOPMENT MANAGEMENT FEE
These fees will be payable to the Manager (or a related party)
and/or any third party in providing development management
services to the Trust.
The development management fee shall be an amount
determined by the Trustee, from time to time, but which is not
more than 4% of the amount expended by the Trustee on
any structural improvement to, or further development or
enhancement of the Property. The development management fee
is accrued daily and paid monthly when construction works occur.
Fees are payable monthly in arrears.
