Business · Companies · 8 hrs ago
360 Capital takes control of mortgages on Bathla project
Bathla Group’s collapse has left lenders seeking ways to recover money tied up in the Australian property developer.
At a project in Marsden Park, north-west Sydney, 360 Capital bought a senior loan for about $31.2 million from La Trobe Financial.
The development has 72 apartments and is nearing completion, with 36 already pre-sold under contracts worth $25.8 million, excluding GST.
360 Capital’s trust already held a second mortgage, so its associated entities now control both mortgages and have greater influence over finishing the project and recovering debts.
A receiver has been appointed to speed up occupancy certificates and settle the contracts for the pre-sold apartments.
Completing and selling the apartments could help lenders recover more than they would from an unfinished building, but the outcome depends on sales and prices.
Bathla’s collapse has also added pressure to private credit funds, some of which have suspended or limited withdrawals amid wider concerns about the sector.
360 Capital acquired a senior loan of about $31.2 million tied to Bathla Group’s development at 137 South Street, Marsden Park.
The purchase gives entities associated with 360 Capital control of both the first and second mortgages on the project.
The development comprises 72 apartments and is nearing completion.
Wexted was appointed receiver after the purchase, with a focus on obtaining occupancy certificates and settling contracts for pre-sold apartments.
The deal follows Bathla Group’s collapse and broader concerns about lenders’ exposure in Australia’s private credit market.
- Who
- 360 Capital acquired the loan from La Trobe Financial, according to the ABC. Wexted was appointed receiver.
- What
- 360 Capital acquired a senior loan facility of about $31.2 million secured against the development.
- When
- The deal was reported on October 16, 2026. The exact date of the acquisition is not stated.
- Where
- 137 South Street, Marsden Park, in Sydney’s north-west.
- Why
- The acquisition gives 360 Capital greater control over the project and recovery of the debts. The company said the step was important to protect the value of its subordinated position.
This story does not have two clearly opposing sides.
La Trobe Financial disclosed it had $38.1 million in loans to Bathla, comprising four residential loans and one development loan.
Wexted was appointed receiver, focusing on obtaining occupancy certificates and settling contracts for 36 pre-sold apartments.
ABC Australia reported that 360 Capital had acquired the senior loan facility for about $31.2 million.
- Loan acquired
- About $31.2 million
- Development address
- 137 South Street, Marsden Park, Sydney’s north-west
- Apartments in project
- 72
- Apartments pre-sold
- 36, under contracts worth $25.8 million excluding GST
- Existing 360 Capital loan
- $8.9 million, ranking behind La Trobe Financial’s loan
- Additional investment in deal
- $5.2 million
What people are saying
We expect to recover the full amount owed to us under the loan.
When you're able to finish the project, you can sell it as a finished product, which will have a much higher valuation than a half-finished project.
The step was not taken lightly, but is very important to protect the value of the trust's subordinated position.