Salim Mehajer seeks $18m ‘private loan’ for latest tower development

Former Auburn mayor Salim Mehajer is worth $34 million according to a document seeking to raise a loan.

Salim Mehajer. Picture: John Grainger

Former Auburn deputy mayor Salim Mehajer — who faces a string of legal accusations from assault to electoral fraud — is worth $34 million according to a document seeking to raise ­millions to pay the builders of his latest apartment tower.

Gold Coast-based finance group Credit Connect Capital has been circulating the “confidential” 40-page document, seeking to raise a $17.8m loan for two of Mr Mehajer’s companies to repay debts on his Skypoint Towers project in west Sydney’s Lidcombe.

The document says Mr Mehajer sought to borrow privately “as opposed to the traditional banking sources” because of the “high profile surrounding his private and business life”.

Mr Mehajer came to national attention when his 2015 wedding caused an unauthorised road closure and involved $50m of supercars and a jet flyover.

In February last year, the entire Auburn council was stood down after the NSW government launched an inquiry into links between councillors and property development.

The 40-page borrowing “discussion paper” states Mr Mehajer is seeking to borrow the money at 12 per cent interest, and lists his personal assets and liabilities, including $150,000 of furniture, $350,000 of jewellery and $200,000 of office equipment.

It states one of his companies, Mehajer Bros, owns an Ebbtide MTR Cruiser boat, worth $82,500 and a taxi plate, with a stated value of $350,000.

The document offers as security a mortgage over 41 Skypoint Towers apartments, 11 commercial spaces and a “personal and unlimited guarantee to be provided by Mr Salim Mehajer”.

However, Mr Mehajer might have difficulty finding lenders to help pay Alliance Project Group, the Skypoint Towers builder and key project lender SC Lowy, which is owed $60m.

As previously revealed by The Weekend Australian, Mr Mehajer has been sued by the broker who organised the initial Skypoint Towers loan, Acuity Funding, after he allegedly failed to pay it and bounced cheques for as little as $15,000.

The Credit Connect Capital document includes a short letter from SC Lowy stating the lender had advanced $60m to fund Skypoint Tower “excluding capitalised interest” and “(t)he loan is preforming (sic) and not in ­default.” .

The Australian Securities and Exchange Commission last year banned Mr Mehajer from managing corporations for three years “in the public interest”.

The document states Mr Mehajer is not a director of the two companies seeking the $17.8m loan — SET Services and Sydney Project Group — because of the ASIC ban, and that his sister Khadijeh Mehajer would become director once the loan was raised.

Mr Mehajer’s “net worth” is stated as $34.17m, based on $41.305m of assets — mostly companies owning properties, including Skypoint Towers at $23m — and $7.14m liabilities.

Credit Connect Capital director Peter Benson, who put together the document, did not return calls yesterday.

Mr Mehajer could not be contacted for comment yesterday.