LUX Property Group Announces Expansion Funding Offering 8.5%–12.5% Annual Interest and Up to 50% Bonus Property Credit
LUX Property Group says it has achieved something unusual in property development: building villas, hotels and resorts across three projects without borrowing a single cent.
According to the company, that achievement reflects the tenacity and dedication of its team—particularly after absorbing what it alleges were losses of approximately $6 million to $7 million through fraud involving its Lombok project, formerly known as Marina Bay City.
“Developments of any significant size in Australia typically involve borrowing millions, or tens of millions, of dollars,” the company says. “To build what we have without debt, while covering substantial losses on one project, demonstrates the determination of our team.”
Now, LUX says it is preparing to introduce borrowing for the first time to accelerate construction and expand its projects, particularly across Bali and Lombok.
Through LUX Capital Partners, the company is outlining private lending opportunities offering 8.5% per annum for secured lending against Indonesian property assets, or 12.5% per annum for unsecured lending, with interest paid quarterly under the applicable agreement.
The minimum lending amount is US$25,000, with a maximum of US$10 million.
Beyond the interest payments, eligible lenders may qualify for an additional benefit: a 25%–50% bonus in LUX Property Credit when redeeming their investment into qualifying LUX properties.
How the Property-Credit Benefit Works
Using the company’s example, an eligible investor lends US$250,000 for 12 months and qualifies for a 50% bonus property credit.
That would provide:
* US$125,000 in bonus LUX Property Credit.
* US$375,000 in total property purchasing credit if the investor also converts the US$250,000 principal into property.
* Interest earned during the lending term, payable according to the agreement.
At 8.5% per annum, US$250,000 would earn US$21,250 over 12 months, equivalent to US$5,312.50 per quarter, assuming the full principal remains outstanding throughout the term.
The property-credit benefit gives qualifying investors a pathway to move from lending into property ownership with greater purchasing capacity.
For example, LUX identifies its three-bedroom luxury Lily villa, offered at A$365,000, as one potential purchase. Because the lending example is in US dollars and the villa price is in Australian dollars, the amount of credit remaining for another property would depend on the exchange rate and the applicable conversion terms.
The bonus is property purchasing credit rather than a cash payment or a guaranteed increase in a property’s market value. Its value to the investor comes from using it toward an eligible purchase.
Funding the Next Stage of Growth
LUX says the funding initiative will support a faster rollout of existing developments and new projects.
“We have built our projects without borrowing,” the company says. “We are now positioned to introduce capital to accelerate growth and give qualifying investors an opportunity to earn quarterly interest while creating a pathway into property ownership.”
For investors already considering a LUX property, the company presents the arrangement as a way to earn interest during the lending term and then, if eligible, convert their principal into property with an additional 25%–50% purchasing credit.
Details about eligibility, security arrangements, lending terms and property-credit redemption are available from LuxCapital.fund.
