Background
The client is an experienced property developer with a focus on large scale land holdings. Their investment strategy centres on acquiring and managing englobo land in tightly held regional markets, with a preference for assets that offer strong long-term growth and future development.
Project Overview
The project involved refinancing four separate englobo land parcels located in Southern NSW, totalling approximately 87 hectares. Each property was previously funded under individual facilities with different lenders and maturity dates, several of which were approaching expiry.
Rather than extending multiple loans independently, the client sought to consolidate all four securities under a single landbank finance facility. This approach was designed to simplify the funding structure, improve efficiency, and provide a clear pathway through the land banking period.
Key Metrics
- Loan amount: $15.9 million
• LVR against valuation: 68.4%
The Challenge
The client was facing an approaching facility expiry that required timely action to realign their funding structure. With limited time available, the refinance needed to be executed efficiently to avoid increased costs or disruption to the broader landholding strategy.
At the same time, the client intended to consolidate all four properties under a single cross collateralised facility. This added complexity and reduced the margin for delay, making coordination between lenders and advisers critical.
The challenge was to secure a competitive landbank refinance while managing the transition within a tightening timeframe. The client required speed, certainty, and a structure that supported their long-term land banking objectives.
DFP’s Strategic Solution
DFP led the refinance process from commencement through to settlement, maintaining tight control over sequencing and execution. The team coordinated the discharge of existing securities to enable consolidation and managed all lender engagement throughout the transition.
DFP worked directly with the incoming lender to resolve arrears and fee related issues, successfully negotiating a waiver that allowed the refinance to proceed without additional cost or covenant disruption.
Once terms were agreed, DFP structured the facility across all four properties and aligned credit, valuation, and legal requirements under a single refinance strategy. The team worked closely with the lender’s solicitors and prioritised documentation to keep the transaction moving. This approach enabled loan documents to be executed and settled on the same day, ensuring continuity of funding and no disruption to the client.
Results and Benefits
The refinance resulted in a $15.9 million landbank facility structured at 68.4% LVR across all four englobo landholdings. The consolidated structure reset facility maturity and removed short term expiry pressure.
With all securities aligned under one facility, the client gained a simplified funding position and improved oversight of their landbank portfolio. The streamlined structure reduced administrative burden and provided greater certainty around cashflow management.
By completing the refinance within the required timeframe, the client mitigated default risk and preserved flexibility for future development or long-term landholding decisions. The outcome delivered a stable funding platform that supports the client’s broader property strategy.
Conclusion and Advice
This case highlights that lenders will support long term land holdings at competitive rates when transactions are structured correctly. Even speculative landbanks can attract strong outcomes with the right gearing, clear strategy, and disciplined execution.
For developers approaching facility expiry, early engagement with a specialist property finance advisor is essential. Refinancing under time pressure requires coordination across lenders, credit teams, valuers, and solicitors. In this case, proactive communication and decisive action proved critical to achieving a timely result.
The key takeaway is clear. Strategic planning and experienced guidance reduce risk, protect flexibility, and create certainty when refinancing complex landbank assets.
Whatever the size of your development plan, DFP have a wealth of experience and strong relationships to help you succeed. Contact us to explore your tailored finance options.
