Labassa Capital Credit Fund Update May 2025

On a 12-month rolling basis, the Fund achieved an investor return of 10.53% p.a. net of fees as of May 2025. The Fund continues to deliver strong returns for investors despite two cash rate reductions in the past 6 months. 

In the month of May, the Fund maintained the ongoing investment portfolio from the prior month at a portfolio LVR of 67.3%. 96.1% of the portfolio loans provides monthly interest servicing and 3.9% of the portfolio are loans with interest capitialised. Key Portfolio assets consist of: 

1) Residual stock from completed land subdivision estates in Sydney 

2) Residential subdivision site with development approval in Brisbane

3) Apartment development site in a blue-chip location in Sydney

Labassa Capital’s May pipeline value was $2.1 billion, encompassing 59 projects with an average facility value of approximately $35.5 million each. The Labassa Investments team has completed due diligence on two industrial projects in Sydney and Brisbane and the Fund will participate in both investments in the month of June.

Global equities markets are experiencing volatility on the back of the US debt issue and conflict in the Middle East. We are experiencing demand from new and existing investors looking to reduce exposure to global equities and increase allocation in private credit real estate for stability.  

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