Hello,
I have come across some parties that are offering "loan notes" to help raise funds for property development projects, that are secured by first fixed mortgages over freehold properties, so we all need to be very clear as to what exactly the original poster is talking about here.
In the case of an unsecured loan note, 9% pa is far too low for the likely level of risk to be taken on. The specific return required will differ from one individual to the next and also, from one deal to the next, but I would be looking for high teens and upwards for my annual return.
In the case of a secured loan note, then much depends on the quality of the security offered, the overall loan to value (of security), the time until maturity and return of the loan, the likelihood of the project succeeding, the risk of the project being significantly delayed, the risk of the security dropping in value etc. 9% pa may be an acceptable return here, but much depends on the specifics of the transaction.
Regardless of whether we are talking about a secured or unsecured arrangement, there is a serious risk with these deals because your funds are going to be used for one development project, or given to one borrower, and as such it's either high risk, or extremely high risk, depending on whether you are getting (real, tangible, enforceable) security or not.
Get an independent solicitor to read over the documentation and advise you on it's implications, and in particular if the documentation you are being asked to sign can be enforced in an Irish court, before you proceed with either of the above options.
Definitely not suitable for widows or orphans, or about 90% of the rest of the population !