Development Finance, $6m
Case Study by Adam G
We value our relationships with brokers, they often provide a critical communication link between us, and developer. Our reliable source of capital, responsiveness and transparency has – time and time again – given them the confidence to have us partner with their developer clients.
When a local developer was introduced to us via a familiar broker, we were ready to act. Not only were they looking for construction finance on a $6M Windsor apartment project, they also needed debt to restructure their company and facilitate the buyout of an outgoing partner. To add to the challenge, the client required a solution that would allow for no pre-sales, as they wanted to retain a large portion, push on with construction and sell the balance closer to completion. Mainstream lenders would have run for the hills, but we rolled up our sleeves and got on with the job of tailoring a bespoke funding package.
Monthly claim walks with the builder and quantity surveyor gave us continued confidence in the strategy, including their salability and ability to refinance the residual debt on completion. Like many projects however, in-ground complications kept us on our toes and unfortunately caused delays. But true to form, we were pragmatic enough to restructure the debt and extend the facility, ensuring it did not incur excessive costs related to construction delays.
Ultimately, we impressed not only the client, but the broker too – both parties subsequently referring new work to Jadig.