Land Bridging Finance
Land Bridging Finance from Aquamore
As one of Australia’s leading boutique, non-banking commercial lenders, Aquamore is highly experienced in securing land bridging arrangements for a range of clients across the country. Whatever your development objectives, we can help you meet them by arranging short term finance through a land bridging loan to keep your commercial real estate projects on track. Our team comprises a range of specialists in areas including taxation law, property, business and financial management. We have exclusive access to brokers otherwise unavailable through traditional lenders. What also sets us apart from traditional lenders is our ability to gain approval and fast access to your capital.
A bridging loan is a type of short term finance that enables businesses to fulfil a shortfall in funding in order to remain operational. This could be a solution to keep cash flow steady while you wait to obtain final planning approval for a property development project or in order to purchase materials required in order to make a start with construction while longer-term funding arrangements are finalised.
The most appropriate finance will depend on a number of factors relating to your project as well as your financial situation and history. Bridging finance can be very useful when applied in the right circumstances. To find out if a land bridging loan is the right way forward for your project, speak to a member of the Aquamore team today.
This type of loan works by providing a pre-arranged finance amount on a short term agreement. The lender will receive repayment of the original amount plus interest at a disclosed rate once the loan recipient has secured alternative capital by way of payment on completion of the project or finalisation of longer-term funding. This is also known as an exit strategy. Here’s a working example of how bridging finance helped a previous client:
Total Loan Amount: AUD$3,490,500
Loan Requirement: Land acquisition for development of housing
Loan Duration: 12 months
Project Summary: Development of affordable housing across five sites located in NSW and QLD by an NSW construction company
Key Terms: LVR of up to 60% with interest serviced monthly
Recourse: First registered mortgage security over all 5 properties. First Ranking General Security Agreement over all the assets and undertakings of the Borrower. Share Mortgage over the Borrower. Directors’ and/or Personal Guarantees of the Borrower
Organisations can apply for a bridging loan between the value of AUD$200k to $7.5million. First mortgage rates start from 8.99% per annum and second mortgage rates are offered from 1.2% per month. Our secured loans incur an establishment fee of 2.2%.
With expertise across a range of commercial specialties, the Aquamore executive team is highly skilled to provide competitive financial solutions for clients across Australia. Since we were established in 2016, we’ve secured over AUD$100million in loans for Australian businesses. We hold both credit and AFSL licenses and are subject to external auditing by Deloitte and KPMG. We’re also passionate about driving growth through commercial development for Australian organisations and the team will support your objectives as you pursue ambitious business goals.