We are specialists in structuring complex financing solutions for commercial and residential property development.
PFG has the capacity to structure effective acquisition and construction facilities from $1M to $200M+. We have a strong reputation amongst funders for delivering well structured finance packages.
We can provide construction and development finance that provides innovative and strategic alternatives to conventional development finance. Our consultants are trained to provide you with innovative finance solutions aimed at ensuring you maximise the return on your investment.
PFG also has a strong capability in financing Retirement and Aged Care Facilities having originated the financing of some of NSW’s prominent projects.
If you are looking for a finance option required to deliver your next development project, talk to us and find out how we can help you.
Common Types of Development Finance:
Senior Debt: Traditional first-ranking loans with the lowest risk and interest rate, used to fund a majority of the project's cost.
Mezzanine Finance: A secondary loan used to bridge the gap between senior debt and equity, with higher interest rates due to its subordinate repayment rank.
Equity Finance: Investors or institutions provide funds in exchange for a share of the project's profits.
Stretch Senior Debt: Combines senior debt and mezzanine finance, offering a higher loan-to-cost ratio under a single facility.
Joint Venture (JV) Finance: A partnership model where both the developer and financier share funding, risk, and profits.
Land Finance: Loans specifically for purchasing land before development begins, often requiring a detailed feasibility study.
Pre-Sales Finance: Based on pre-sold units, lenders provide funds for development, reducing the risk for both parties.
Development finance is crucial for large-scale residential, commercial, or mixed-use projects and is tailored to align with construction stages and market demands.
Credit Enhancement Products
Through our banking, institutional and non-bank relationships, PFG has credit enhancement products that can be used to assist with development finance such as:
Development Site (land bank) finance to assist with securing your next project;
Construction Loans (including senior stretch finance) to enable you to deliver your next project;
Mezzanine debt options designed to assist with the “topping up” of debt required beyond the first mortgage construction loan;
Preference equity finance which assists with bridging the gap to the first mortgage construction loan;
Residual stock finance which enables you to re-finance unsold stock from a construction loan, and provides time to sell in a timely manner at normal commercial interest rates;
Retirement and Residential Aged Care Funding to assist with the acquisition, development and liquidity funding for your Villages and Aged Care Facilities.