Case Study | 1st Mortgage for cash out for working capital – Sydney NSW

July 20

DFP secured refinance with an existing private lender to provide equity and cash out for working capital purposes.


Project Background

The borrower engaged DFP to refinance with an existing lender and provide cash out for working capital.

Key Challenges
  • An urgent valuation was required to facilitate the requested facility

DFP's role:

  • The clients' initial estimate of $6.0 million was an issue due to the subject property's highest and best use being a residential subdivision and the improvements consisted of an older style, low-set, residential dwelling in a derelict condition. With the improvements of no value-add to the underlying land content.
  • DFP talked through the critical elements of the valuer's report with the client, and the ultimate valuation outcome of $3.255 million.
  • DFP negotiated a LVR of 55% with the capital underwriter.
The Result

DFP delivered:

  • Finance secured, terms approved and strategy for consent agreed with all stakeholders.
  • Loan amount at 55% LVR was subsequently agreed on and documented.
  • Settlement effected in time for clients' requirements to achieve the private lenders refinance and provide cash out for working capital purposes.

If you are looking to refinance or require additional capital to use for your next project, get in touch with us today to discuss your options.


Tags

Refinance


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