Affordable Housing Project Miranda NSW $3,300,000

Affordable Housing Project Miranda NSW $3,300,000

BACKGROUND

Development Finance Partners (DFP) was engaged to assist its client to procure construction finance for a boutique 8-unit project in Southern Sydney, being developed pursuant to the State Government’s Affordable Housing Scheme. Under the scheme a portion of the accommodation (to circa 25%) is required to be made available for rent to middle income earners at a discount upwards of 20% of market, or a portion of the occupiers income, for 10 years. The target market includes individuals working in services such as teaching, child care, nursing, police, fire and allied public and semi-public occupations, where convenience to place of work is an important consideration.

In return the State Government, in conjunction with local Councils, provides both density bonuses and the opportunity for developers to build in low rise zonings.

 

THE KEY ISSUES

The client produced an innovative one bedroom townhouse style design for the project. The combination of design and the still new concept meant that pre-sales would be difficult to achieve, buyers requiring a completed product to inspect prior to committing to purchase.

A financier who understood the concept and who would importantly be agreeable to funding without presales was therefore a prerequisite.

 

DFP’S ROLE

DFP was able to call on its experience in previously arranging funding for Affordable Housing Projects.

Based on strong relationships with its capital partners DFP was successful in procuring funding in line with the client’s requirements, on competitive terms and conditions and without the obligation of pre-sales.

 

WHAT THE CLIENT SAYS

“I’ve used DFP on a number of projects now as from previous experiences, I know that they are very good at what they do.  I know that by working with them I don’t have to mess around, I trust the process and the relationship we have. The funding space moves too quickly for me to constantly monitor it myself, they are on top of the market conditions and know which lenders are best to approach at any given time. Having them look after the finance means I can get on with I do best. What they do is a full-time job and because they do it all the time they get economies of scale and have relationships they can leverage which is why I continue to work with them.”

Jonathon Tyree, Director, Ashton Rowe

Leave a comment

Your email address will not be published. Required fields are marked *

For expert advice:

Sydney Office

Level 3, 31 Alfred St
Sydney NSW 2000
P / 02 8916 6246

Melbourne Office

Level 30/35 Collins Street,
Melbourne VIC 3000
P/ 03 8692 0082

Brisbane Office

Level 18, 175 Eagle Street
Brisbane QLD 4001
P / 07 3041 4136

See all contact details >

Insight Categories /

Topics /

标签/

Share on Facebook
Facebook
Share on LinkedIn
Linkedin
Tweet about this on Twitter
Twitter