Development Finance Partners (DFP) was engaged by a Queensland-based development group to secure funding for both the land acquisition and subsequent civil works of a 12-lot residential subdivision in Toogoom, a coastal community just 15 minutes from Hervey Bay. The site spans 3,281 sqm, located only 400 metres from Toogoom Beach, and was already approved for subdivision at the time of funding.
The developers, with long-standing experience in the construction and development industry, had previously completed smaller residential builds. This was their first project of this size and scope, and they sought a funding partner who could help minimise equity requirements and structure a solution to support future growth.
DFP was engaged to assist not only with the settlement of the land but also to arrange development finance for the full delivery of the project—including civil works, infrastructure charges, and capitalised costs.
Upon completion, the project will deliver 12 level residential blocks ranging from 628 sqm to 1,064 sqm, set within a well-established and highly desirable beachside community.
The developers wanted to maximise their gearing and limit their upfront equity contribution, believing the land’s market value had increased since purchase due to recent approvals and strong local demand.
Key Metrics
Loan Amount: $1,705,000
Loan Type: 1st Mortgage Facility – Land Settlement and Development Finance
LVR – Land Settlement: 88% of purchase price (70% of valuation)
LVR – Development Finance: 65% of Gross Realisation Value (GRV)
Term: 12 months
Location: Toogoom, QLD
The client’s objectives were to:
Secure high-LVR funding for land acquisition
Minimise equity contribution at settlement
Access development funding for civil works and infrastructure charges
Ensure capitalised interest and fees were included to avoid injecting further capital
The client believed the property’s value had appreciated due to a development approval and strong regional market uplift—but needed a lender willing to support that vision and structure terms around it.
DFP worked quickly to arrange:
Land settlement funding at 88% of the purchase price, supported by an independent valuation that came in $300,000 above the purchase price
A flexible development facility structured at 65% of GRV, which included:
100% of civil works and infrastructure costs
Capitalised interest and fees, eliminating further equity contribution
Terms tailored to align with sales and project delivery timelines
Through its established capital network, DFP negotiated favourable terms with a trusted funding partner and delivered a facility that gave the developers the flexibility and support they needed to complete the project and prepare for their next acquisition.
$1.705 million facility secured with 12-month term
Land settlement funded at 88% of purchase price
Valuation uplift leveraged to reduce equity contribution
100% of development costs funded, including capitalised interest
No additional equity required beyond the initial settlement
Strong structure supports next project acquisition
This case highlights DFP’s ability to structure high-LVR settlement and development finance for emerging developers with strong potential. By unlocking maximum gearing based on real market value and providing full cost coverage for civil works, DFP positioned the client to successfully deliver their first large-scale subdivision while preparing for future opportunities.
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