Affordable Housing Project Sutherland Shire, Sydney $2.2 MILLION
Development Finance Partners (DFP) was engaged to assist its clients to procure construction finance for a boutique 7-unit project in Southern Sydney, to be developed pursuant to the State Government’s Affordable Housing Scheme.
The Key Issues Faced in Sourcing Funds
There were three (3) main issues:
- The somewhat specialised nature of the project/security
- All units / townhouses being one (1) bedroom only, and
- The developers preference to proceed without pre-sales
A number of lenders were resistant to the transaction, due to one or more of these issues.
DFP was, firstly, able to call on its experience in previously and successfully arranging funding for Affordable Housing Projects.
Secondly, DFP’s strong relationships with capital partners enabled us to procure three funding offers in line with the client’s requirements, without the obligation of pre-sales and despite a tightening in both the lending and property markets.
What the Client Says
“I always use DFP because I have faith that they can get the result I need. They got the funding over the line without needing any presales which was a really good outcome. It was a difficult time to launch a project, I didn’t want to hold up the construction. I wanted to be able to get going and launch in the New Year which was really beneficial to me.
It was great how responsive they were through the process, we had approval in place with one capital partner who then reversed and changed their approval when the royal commission happened. DFP were able to source another partner and get it turned around in about a week and half. I was surprised how quickly they could come up with another solution.
The whole process was very straight forward, which was a huge benefit.”
Director, Ashton Rowe
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