SOUTH EASTERN SUBURBS, VICTORIA
Small Land Subdivision of 21 lots
Bank withdrew funding, leaving the owner to sell at a loss
ACMF suggested a structured finance proposal, with additional 6 months buffer as the permits had to be resubmitted due to design changes. Additional funding was made available on a “standby” basis of up to $500k to cover costs due to Permit delays. The sales agent promoted the development now with funding approved for early sales to occur with buyer completion certainty;
Greater certainty allowed the sales to occur in turn allowing the project to proceed. Buyer certainty created a successful sales campaign, client ended up with a reasonable profit margin, compared to a loss if sold.