Over the past decade, private lending has surged in popularity, especially in the space of first mortgage secured construction loans.
As investors search for alternatives to low-yield term deposits and volatile equities, many have turned to private credit funds.
These funds often promise attractive fixed returns, secured by tangible property assets, supported by the growing demand for housing and infrastructure.
But while the concept is sound, not all private lending options are created equal.
Most lenders in the market offer investors exposure via pooled funds—a diversified basket of loans across multiple projects.
While this may provide a sense of risk protection through diversification, it also distances the investor from what their money is actually funding.
In these structures, investor capital can be allocated across dozens (or even hundreds) of loans, and individual project performance is blended together.
The result? You can lose visibility and control.
One lender is doing things differently.
Instead of the pooled approach, HCP allows investors to choose exactly which development projects they want to be involved in.
Each loan opportunity is presented transparently, outlining the developer’s track record, project location, valuation metrics, timeline, and return profile.
Investors can then make an informed decision about where to invest—no guesswork, no dilution of risk and no hidden surprises.
This model brings private lending back to what it should be: investing in real projects with real people.
The power of choice isn’t just about risk control—it also fosters a stronger connection between investors and the projects they support and builds long-term relationships.
As a result, HCP has funded more than 25 project loans in the past eight years for one particular borrower client.
In the HCP model, you’re not just putting money into a faceless fund.
You’re helping build residential communities, support Australian developers and directly contribute to the country’s housing supply along with other valuable infrastructure contributions.
As an investor, you are presented with a variety of projects to choose from, you get to see the borrower profile and record, the project overview and once you have invested HCP keeps you updated with monthly updates so you can track progress in real time.
For many investors, especially those with business backgrounds or property experience, this level of transparency and control is a breath of fresh air.
It’s no longer “set and hope.”
It’s active, informed investing—backed by property, powered by people.
Each loan is secured by a registered first mortgage over real property, and the due diligence process includes conservative loan-to-value ratios, comprehensive developer assessments, and legal and valuation safeguards.
The model is designed not only to deliver returns but to protect capital.
As a result, HCP’s first mortgage investments loans have not had a loss of investor capital in eight years.
And in private lending, this matters more than anything.
Currently, the interest rates on these loans typically range from 9 per cent to 10 per cent a year, depending on the project’s complexity, location, and duration.
Investors can choose from short-term projects (as little as six months) or longer-term developments over 12–18 months, with some offering monthly interest payments, while others pay at completion.
All loans are fully vetted by an experienced credit committee and investors are provided with detailed investment summaries, supported by carefully prepared legal documentation and direct access to support teams.
Investing is kept simple: once you’re onboarded and verified as a qualified ‘Sophisticated Investor’, you receive notifications when new loan opportunities become available.
You then get to choose which ones you like, allocate your funds, and then monitor performance via an online portal.
This direct-investment approach works because it aligns interests. HCP’s success is 100 per cent dependent on investor satisfaction.
The developer doesn’t get funded unless their project passes strict criteria and the investors effectively have the final say by deciding where their money goes.
For many Australians with SMSFs, trusts, or personal funds to invest, this model provides the best of both worlds: the security of real estate and the empowerment of choice.
In a market where so many investment options are automated, impersonal, and opaque—this is investing the way it should be: tangible, transparent and you get to choose the risk profile you are most comfortable with.
To join HCP’s current 190-strong investor group and get your funds working with confidence, register your interest here, or call HCP’s Head of Lending & Investments, Gary Connolly on 0432 470 498 or Director Dan Holden on 0401 669 502 to set up your ability to invest in real projects with real people.
Click here to view the Investor Pitch Deck.
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