Notes to the Financial Statements
For the year ended 30 June 2009
INTEREST-BEARING LOANS AND BORROWINGS (continued)
Project funding facilities are secured by:
fixed and floating charges over all assets and undertakings of the entities involved in the relevant project, namely, AVJennings
Properties SPV No. 5 Pty Limited and AVJ Erskineville Pty Limited;
first registered mortgage over the real estate inventories of the relevant projects; and
fixed and floating charge over the assets and undertakings of a project of AVJennings Properties Limited.
At 30 June 2009 the facilities shown are interchangeable up to $500,000 (2008: $800,000) between the bank loans and performance bonds/other non-cash facilities. The lines of credit shown are maximum limits which are available progressively as projects are developed. The expiry dates for the facilities take place between September 2009 and August 2010. The facility that was expiring in September 2009 has been extended to 31 March 2010. Individual projects are expected to be completed and the outstanding amounts repaid or refinanced prior to expiry of each facility. As at 30 June 2009, the balance outstanding on these facilities was $30,451,000 (2008: $44,911,000).
The carrying amounts of the pledged assets are as follows: Cammeray, New South Wales Killara, New South Wales Wollert, Victoria Erskineville, New South Wales
– – 39,959 28,247
8,978 27,720 37,170 14,456
The weighted average interest rate on the project funding loans at the year-end was 4.64% (2008: 9.30%).