Case Study: Property Advisory

Case Study: Property Advisory

The client had a property in a regional area with a high regional catchment capability due to its proximity to a military base.

Brief to Development Finance Partners:

Look at the current DA and do a full working feasibility on the soft and hard costs to develop as the client wanted to construct and keep for the return via leasing income.

What was discovered:

That due to the properties location, the Project Director informed the client that they may realise a far better return by increasing the size of the site via Option Agreements with a view to DA for a blue chip tenant such as Woolworths to be prime tenant which would then anchor the tenancy and a further five(5) small tenancies offered.

The outcome:

The Project Director then ascertained the owners of the remaining land holdings, negotiated Option Agreements and terms. Then the key tenant was also engaged to enter into negotiations on a lease back option.
Funding was then arranged on the basis of the tenancy expressions of interest.