The developer sought finance to assist with the purchase of the site and construction and development funding for a 22-residential apartment project. They had started marketing and presales and wanted to move forward with construction finance during the process.
The client sought to refinance borrowing against a portfolio of property assets, which included a mix of medium density residential, commercial and development land, plus provide for capitalisation of interest, cost & fees for 12 months, while the portfolio was rationalised.
The client required a highly geared and complex facility structure to accommodate its plans. Three (3) properties/parcels in Sydney’s Inner West were being offered as security;
The proposed new facility had also to be sanctioned by a second mortgagee with a large loan exposure.
DFP was able to leverage the strong relationship with its capital partner to work up a funding solution based on a 78% Loan-to-Value Ratio, comprised of a combination of senior and mezzanine debt to:
To facilitate the funding DFP also negotiated debt reduction milestones, based on a minimum sales target for part of the multi-unit security.
Thereafter, we assisted the just completed settlement of the transaction by facilitating communication between the borrower, the incoming lender, the existing second mortgagee and four (4) participating legal firms located in three states.
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