Mayfair 101: Creditors scramble to secure return through luxury Mission Beach fire sale

Mission Beach properties acquired by embattled investment group Mayfair 101 are set to go under the hammer in a fire sale to recover funds for a Sydney-based lender.

The house at 2 Conch Street Mission Beach has been included in a receiver’s sale.

LUXURY Mission Beach properties acquired by embattled investment group Mayfair 101 are set to go under the hammer in a fire sale to recover funds for Sydney-based lender Napla, however a battle could be brewing over noteholders’ claim to the assets.

Six previously settled high-end houses and eight vacant lots in Mission Beach and Wongaling Beach will be sold.

Properties have been advertised by receivers McGrath­Nicol appointed by Napla.

Expressions of interest are set to close on December 11.

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Mission Beach property owner Grahame Anderson, who is waiting for settlement on his Banfield Parade block, has been following developments closely.

“McGrathNicol have claim over certain properties, anything that has not settled (they can’t sell.) I have had no communication with the receivers at all,” he said.

Mr Anderson said it was unclear if a rival bid by noteholders to recover invested funds would take priority over Napla’s outstanding $15m loan to Mayfair.

“It comes back down to who is entitled to the properties and who gets first bite of the cherry,” he said.

Mission Beach property owner Grahame Anderson.

Mayfair 101 founder James Mawhinney said noteholders in various Mayfair products could elect to recover their investment by offloading 107 Mission Beach properties owned by the firm.

“The company is still in provisional liquidation, noteholders will have the ability to make a decision,” he said.

“(But) if the liquidation process (continues) and the company (is) wound up, we expect a total loss for noteholders.”

Noteholders are expected to meet in “the next couple of months” to discuss the debt recovery plan, and any investor payout through the sale of Mission Beach property would need to be cleared through the courts.

“With the property that Mayfair are putting forward, if they get (noteholder) support, hopefully Mayfair can kick on and finish what they started,” Mr Anderson said.

Mission Beach real estate agent Dick Anderson said there had been strong interest in the receivers' sale.

Originally published as Mayfair 101: Creditors scramble to secure return through luxury Mission Beach fire sale