Background
The client was an experienced developer and land banker with a long history of acquiring, managing and progressing strategic industrial and rural land holdings across Tasmania.
Over many years, the client had assembled a substantial portfolio of assets and successfully created value through progressive subdivision, infrastructure works and parcel sales. As the portfolio continued to evolve, the client required a funding solution that would support the next stage of works while maintaining momentum across a long-term development strategy.
Project Overview
The transaction involved the refinance of a large industrial and rural landholding portfolio comprising multiple titles, subdivision stages and future industrial development land in Bridgewater, Tasmania.
The portfolio had been progressively advanced through servicing works, subdivision activity and strategic land sales. With existing debt facilities approaching maturity, the client sought a refinance solution that would provide certainty, support ongoing project progression and fund the next stage of infrastructure and development works.
Key Metrics
Loan Amount: $12 million
Location: Bridgewater, Tasmania
Project Type: Industrial Land Portfolio Refinance and Land Banking Facility
LVR Against Valuation: 53%
Facility Term: 12 months
Security: Multiple industrial and rural land titles
Presales: Existing contracted land sale recognised within the lender exit strategy
The Challenge
The transaction involved a few complexities that required careful management and coordination.
Existing debt facilities were approaching maturity, creating the need for a refinance solution capable of consolidating multiple funding arrangements while supporting the client's ongoing development strategy.
The portfolio itself comprised a diverse mix of industrial and rural land holdings, requiring specialist valuation expertise and lender appetite for large-scale land banking assets in Tasmania. At the same time, multiple stakeholders were involved in the transaction, including outgoing lenders, valuers, solicitors and purchasers connected to existing land sale contracts.
The client required a solution that could simplify the funding structure, provide certainty around future project progression and support ongoing subdivision and infrastructure works
DFP's Strategic Solution
Development Finance Partners coordinated all stakeholders involved in the transaction and implemented a structured refinance strategy aligned with the client's long-term objectives.
Working closely with lenders, valuers, solicitors and contracted purchasers, DFP managed the refinance process from end to end while addressing the complexities associated with multiple titles, existing debt facilities and future project requirements.
A refinance facility was structured to consolidate existing debt arrangements, support ongoing project costs and provide additional working capital for subdivision and infrastructure works.
DFP also coordinated specialist valuation requirements and worked closely with all parties to ensure the existing contracted land sale could be appropriately incorporated into the lender's assessment and exit strategy.
Through targeted lender engagement and detailed transaction management, DFP secured a funding solution aligned with both the underlying asset position and the client's broader development objectives.
Results and Benefits
Development Finance Partners successfully arranged a 12-month refinance facility that consolidated existing debt facilities and provided additional capital to support the next stage of the client's development strategy.
The facility created a more streamlined funding structure, improved certainty around project progression and provided the working capital required to continue subdivision and infrastructure activities across the portfolio.
Importantly, the refinance enabled the client to maintain momentum across a strategically important landholding portfolio while continuing to unlock value through staged development and land sales.
For experienced developers managing complex land banking assets, the transaction demonstrates the value of proactive funding management, lender alignment and specialist structuring expertise.
Conclusion and Advice
This transaction highlights the importance of engaging experienced development finance advisors when managing complex refinance requirements involving multiple stakeholders, diverse asset holdings and specialised lending scenarios.
Large-scale land banking portfolios often require funding solutions that extend beyond conventional lending parameters. Securing the right lender and structuring approach can play a critical role in preserving project momentum, supporting ongoing value creation and maintaining flexibility as development strategies evolve.
By coordinating all stakeholders and aligning the funding structure with the client's long-term objectives, DFP helped position the portfolio for its next stage of progression.
What This Means for Developers
- Large land portfolios can often require specialist funding solutions beyond traditional bank policy
- Early refinance planning can help preserve flexibility and avoid funding disruption
- Existing land sale contracts may strengthen lender confidence when appropriately structured
- Specialist lender appetite can unlock opportunities for industrial and land banking assets
- Coordinated stakeholder management is critical on complex refinance transactions
- The right funding structure can support ongoing value creation across long-term land portfolios
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.
