Forum Replies Created
Tripartite Agreements – a Development Funders worst nightmare.
They are set to protect the lenders and the developers, by setting in placet he terms adn conditions as to how the relationship will move forward.
IF the builder will not sign it, do not let them hold you to ransom. I have two projects under construction at present from a builder situated at Southport. If you cannot negotiate with this builder, I can make an introduction to a builder in Sotuhport who can assist.Wade Greasley
Finance Manager
Bluewater Financial Pty Limited
0414 564743 /[email protected]Elkam,
You have a couple of different options here – as I am experienced in international trade.
I do not know what these companies represent.
Nonetheless, you could speak to your bank here in Australia, and they may assist you opening an Onshore Foreign Currency Account. This means you transfer the funds to an account in Australia, with your bank where the account is maintained in Euros. You get paid interest in Euros, the fees are reasonable, and then you wait and see what the forex market does. This does not offset any borrowings you have, but gives you peace of mind in terms of currency risk management.
The whispers around the marketplace is that the AUD will continue to appreciate against the English Poiund and Euro, on the back of growth of resources sector.
You need to weigh up the cost of such appreciation, and make a decision which is financially viable, as your optimum position is to sell your Euros for the smaller number per Australian Dollar to maximise cash flow and profitability benefit.Chewboonhoe,
Most developers offer up some of the blocks of land cheap to attract presales for the bank that is funding the subdivision. My guess is the developer in this instance believed the market was at a certain price, however when the properties went to market demand pushed the price up. In terms of property law, especially in Queensland you best have a word to your solicitor / conveyancer handling the matter. From a funding perspective it is realistic to expect funding to be in place within a month. If you broker cannot get it organised, you need to find another broker, as it is in times such as these that strong relationships between clients and brokers are forged.
Wade Greasley
Commercial and Residential Finance Manager
Bluewater Financial Pty Limited
0414 564743
Good afternoon,
All the major aggregators, FAST, PLAN and AFG all provide their suboriginators with a suite of equipment finance lenders, plus the opportunity to be accredited with each of the major banks for equipment finance. This is your best option…..
Thanks
Wade Greasley
Bluewater Financial Pty Limited
Residential and Commercial Lending BrokersCrusader,
Can you give us some more details around the property, your expected value and the debt facilities secured against it.
I know of at least one major lender, who is willing to pay switiching costs for commercial finance refinancing over $500K. If this is you, then you may hae to pay for the valuation upfront, but would receive a refund once the loan settles.
Give us some more details around your scenario aand forum members may be able to help.
Wade Greasley
Bluewater Financial Pty Limited
Residential and Commercial Lending Brokers
[email protected]
0414564743
Discover the Bluewater Difference[exhappy]wrx928,
This is certainly a complex position, but unfortunately one that is not too uncommon. Before you embark on the purchase make sure you have some solid legal advice in your corner from an experienced commercial lawyer, as if it gets ugly and you are implicated then it will get very ugly.
An alternate strategy is to approach the Credit Restructuring department of the lender in question, and formally make an offer for the site. Then it may be seen as an arms length transaction, and you are purchasing the property from the true and rightful vendor being the lender.
For the lender, they do not want to be stuck with a white elephant. They will sell where it is to their advantage to do so. Once you have got your legal advice my course of action, having had exposure to Credit Restructuring with one of the major 4, make an offer subject to due diligence time frame, say 28 days where you can check feasibilty get construction quotes of your own, confirm council’s willingness to reassign the DA, and have your solicitor confirm or reaffirm pre-sales.
Without sound legal advice, sound planning and strong due diligence this project maybe the duck you think it is. DOn’t be one left carrying the duck, do you background work first, and you may if everything adds up pick up a sound project.The above is to be classed as general advice only. Independent legal and financial advice must be sought and relied upon to the exclusion of the aforementioned general advice in making a decision. The writer accepts no liability for reliance on general advice in decision making.
ThanksWade Greasley
Bluewater Financial Pty Limited
Residential and Commercial Lending Brokers
“Finance for Life”
[email protected]LA,
For mine it really comes down to what your strategy is for holding your properties. If you are focused on long term asset accumulation and wealth creation a trust vehicle may help you. Whereas, if it is your intention to seek short term depreciation benefit and capital growth where applicable and sell trust protection may not be that important.
There are lenders in the marketplace who will approve a Master Limit which will allow you to borrow in any name under one facility agreement. That is you can buy one in your name, one in joint names and put another in a trust name.
This may help when you make the decision to purchase furthr properties in a trust name, to transfer them and spread the cost of transferring the other properties into the trust over 6 , 12 or 24 months.
let us know what you think….Wade Greasley
Bluewater Financial Pty Limited
Residential and Commercial Lending Brokers
“Finance for Life”
[email protected][biggrin]Viral
A solicitor will assist in any subdivision greatly. The key areas of influence they have is in the documentation required for the preparation of a Development Approval to go to council. They can access existed Deposited Plans, as held by the Lands Titles Office to ensure sewerage connection point, advise on any positive and negative covenants, profits d pendres and the like. Additionally they can can prepare the Section 88B (NSW) required to register a plan of subdivision, assist with getting the bank’s consent to the plan of subdivision, if mortgaged and then lodge the DA approved plans to LTO for confirmation and registration.
Most of my clients engaged in property subdivision small or large, would not take a step without the protection of knowing that their interests are covered……..Wade Greasley
Residential and Commercial Lending Brokers
[email protected]
“Discover the Bluewater Difference”From a brokers perspective, they are working for you. Quite clearly, the broker wants to recieve positive feedback from you, and possibly referrals, so meeting your needs is a must for the broker. Do not think of it as applying pressure. Think of it as working together towards a common goal – yours. Lets face it by achieving your goal, you both profit. If you don’t you both lose out….. Work together, keep the communication and expectations clear and open and make it happen…..
Wade Greasley
Bluewater Financial Pty Limited
Residential and Commercial Lending Brokers
[email protected]
“Discover the Bluewater Difference”From what you have told us, it would appear that you are purchasing either a block of land and building, or purchasing a completed warehouse. The main focus for lenders is on the strength of the end lessee, and the terms of the lease. Most lenders with a lease will go to 70%, but if you are willing to pay a bit more (app fees and Int rate) you can go as high as 85% but the deal has to be pretty strong for this particular lender.
If you can share some more information, we can help you further.Wade Greasley
Bluewater Financial Pty Limited
Residential and Commercial Lending Brokers
[email protected]
‘Discover the Bluewater Difference”You are right in terms of land in residential built up areas cannot be sold without services being attached. It is a normal condition of the contract of sale that a sewer plan be attached, showing where the closest sewer connection is to your property. In addition the property must have access to town water and town power.
The reason why the counil referred you to a solicitor was that the solicitor can do land searches of Deposited Plan and determine where the sewer lines are, were power and water easements are. The next step is to contact the relative semi government authorities such as Sydney Water and Integral Energy to get quotes on the linkage. I have only been involved in vacant land transactions and the costs vary. Best see a solicitor, then make enquiries with the relatives agencies to amend your feasibility calculations.Wade Greasley
Bluewater Financial Pty Limited
[email protected]
Ph – 0414564743
Residential and Commercial Lending Brokers
“Discover the Bluewater Difference”[biggrin]Jcon1,
This sounds like a good opportunity. You have most of the bases covered in terms of your pre project due diligence. I would consider council enquiries to be the first and most important piece. If they wont conisder a Development Application then the project would be delayed through concilliation. Next step is to run the numbers past your accountant to ensure it is viable. Most lenders are looking for at least a 20% return on cost. Some hoever will go lower based on the strength of the transaction.
Many of us in this community are finance brokers experienced in property development funding. so your first stopsure could be your bank manager for funding, but also pick our brains, one of us would be more than willing to assist.
After you have confirmed your position, that council will consider, that it is viable and can be funded, and that local real estate agents beelive they will sell move towardsputting together an offer.
Hope this helpsWade Greasley
Bluewater Financial Pty Limited
Residential and Commercial Lending Brokers (NSW)
[email protected] or 0414564743
“Discover the Bluewater Difference”[biggrin]In general terms would you like to just give us an idea as to what you have in mind. If you would be more comfortable, you may care to discuss outside the forum. However if you post your ideas within the forum you will have not only benfit of my advice, but the advice of others. Look forward to your response.
Wade Greasley
Bluewater Financial Pty Limited
Residential, Commercial and Business Lending Brokers
[email protected] or 0414564743
“Experience the Bluewater Difference”I know of a really good finance broker in Perth. Please make contact via email and I will provide contact details. THis broker will take the time to understand your position and direct you to the best solution.
ThanksWade Greasley
Bluewater Financial Pty Limited – 0414564743
[email protected]
Residential and Commercial Lending Brokers
” Experience the Bluewater Financial Difference”I can help you with your feasibility template…
I am a commercial lending broker predominantly focused on residential and commercial developments. I have a simple excel model which I use. It also comes in handy to show lenders within proposal for finance. Always willing to assist.Wade Greasley | Bluewater Financial Pty Limited
Mo – 0414564743 | [email protected]
“Discover the Bluewater Difference”I concur with Richard……..
You must structure the funding to suit your own individual circumstances, and you can bet that your situation is different to everyone else here…..
Interest Only allows you to avail of applicable tax advantages, minimise the loan repayment burden, and allows you to take advantage of growth.
Make sure you talk to an experienced lender / broker when you are ready to purchase. They will discuss your situation, and together you will arrive at a product/structure that is right for you.Wade Greasley
Bluewater Financial Pty Limited
Mo- 0414 564743
[email protected]
“Discover the Bluewater Difference”[biggrin]I thought this was someone who needed my help not an advertisement……..
Best of Luck
Wade Greasley
Bluewater Financial Pty Limited
Mo – 0414564743
[email protected]
“Discover the Bluewater difference”I am with Qlds007, without added personal information and statement of position, it is difficult to assess your position.
Lenders use different repayment calculators to determine your serviceability for lending.
Would advise you seek a further opinon on your eligibility, so you are aware as to what exactly needs to change in regards to your situation for a further propery acquisition to become a reality.Wade Greasley
Bluewater Financial Pty Limited
Residential and Commercial Lending Brokers
Ph- 0414564743
“Discover the Bluewater Difference”[biggrin]
