ACTIVE TRANSACTIONS
sunshine coast hinterland
Loan Limit: $4,940,000
LVR: 65%
Security: First Mortgage
Investor IRR: 10.01% p.a.
Term: 15 months
This is a progressively-drawn construction loan, to assist with the construction of a bespoke architecturally designed luxury home in the Sunshine Coast hinterland.
The Borrower is an experienced developer, and a builder by trade, specialising in the bespoke construction of high end new builds and renovations.
Upon completion, the house is to provide 5 bedrooms - each with ensuite and walk-in wardrobe - a cinema room, large wine cellar, kitchen with butler’s pantry, outdoor entertaining, and a six-car lock up garage. The property is to feature prestige level quality fixtures and fittings throughout.
The property is to be sold on completion, with the Pillarview loan repaid from proceeds of the sale.
Sydney SW
Loan Limit: $5,836,000
LVR: 45%
Security: First Mortgage
Investor IRR: 10.09% p.a.
Term: 12 months
We pride ourselves on our understanding of the property market, and the credit risks associated with development finance.
We provide tailored solutions on commercial terms to provide credit worthy borrowers funding for their property related purposes.
The subject loan was provided to assist with the 25-lot residential subdivision of the Borrower's site.
The loan limit was a low LVR of only 45%, and was provided to the borrower in two tranches - the first tranche refinanced the existing debt, and gave a further advance sufficient to meet the civil construciton costs of the subdivision. The release of the second tranche is conditioned on the Borrower obtaining and providing certificates of completion, and will be used to pay marketing costs and the council fees payable to enable registration of titles.
This gave greater flexibility to the Borrower, while remaining within our credit appetite, and at a sufficiently low level of risk for our investors
Brisbane BAYSIDE
Loan Limit: $4,035,000
LVR: 65%
Security: First Mortgage
Investor IRR: 10.48% p.a.
Term: 18 months
The purpose of this loan was to assist with the purchase of a residential development site in Brisbane's bayside.
The loan is secured by a first mortgage over the development site, with additional security in the form of a second mortgage over a large residential acreage property, ranking behind the sponsor's home loan.
The additional security allowed a greater loan amount to minimise the equity contribution required from the Borrower for the purchase.
The loan term of 18 months is longer than our typical loan terms of 6-12 months. This provides our investors a greater investment term, at a high fixed rate of return.
During the loan term, the Borrower intends to lodge a development application and obtain approval for a five level 28 apartment complex, begin marketing for the as-if-complete product, and subsequently refinance the Pillarview loan with a construction loan from another lender.
brisbane south east
Loan Limit: $600,000
LVR: 38%
Security: First Mortgage
Investor IRR: 10.03% p.a.
Term: 9 months
This loan was provided to refinance an existing debt facility, which was due to expire.
The security property holds approvals for mechanical waste processing, and was used by the Borrower for the recycling of construction and demolition materials.
The Borrower had intended to extend the existing loan from their current financier, however the terms and conditions of their extension were not commercial.
Pillarview was able to approve, document and settle the new loan within a short timeframe and before the expiry date, which saved the Borrower from paying penalties imposed had the loan not been repaid in time.
The loan term of 9 months was provided to enable the Borrower sufficient time to obtain an approval for a refinance with a loan from his mainstream bank
inner brisbane
Loan Limit: $500,000
LVR: 77%
Security: Second Mortgage
Investor IRR: 19.0% p.a.
Term: 6 months
The Borrower is an experienced developer who is in the final stages of completing a 20 residential unit project in one of Brisbane's inner ring suburbs.
The Borrower had experienced several delays and cost escalations during the project, which were met from its own cash resources.
This Pillarview loan was secured by a second mortgage against a separate residential property owned by the Borrower, and was delivered to provide a further cash injection to assist with cashflow requirements and see his project through to practical completion.
The project itself was 75% sold, providing over 100% debt cover against the combined first and second mortgage facilities.
The loan is to be repaid from sales proceeds upon the completion of the project
brisbane
west
Loan Limit: $1,050,000
LVR: 58%
Security: First Mortgage
Investor IRR: 10.10% p.a.
Term: 9 months
The Borrower had owned this development site as a long term investment property for a number of years.
Pillarview provided a loan to refinance the existing mortgagee, and provide cash-out, to enable the Borrower to meet the costs of obtaining a DA to subdivide the site into four residential allotments, and to complete the minor-works required to obtain the Titles.
The Borrower is to obtain sales for the as-if-complete land allotments during the loan term, and intends to repay the loan from the sale proceeds upon completion of the project.
Brisbane
south
Loan Limit: $1,000,000
LVR: 40.8% of the as-is value
Security: First Mortgage
Investor IRR: 9.80% p.a.
Term: 12 months
This loan was advanced against a newly-built and state-of-the-art Leasehold Going Concern Child Care Centre located in a growth corridor in a southern suburb of Brisbane.
The loan was to assist with the establishment and start-up during their trade-up period, thus allowing the Borrower to retain their own funds for use toward other active child care development projects.
The loan is secured by a mortgage over the Lease of the centre, and supporting a Personal Guarantee from the Director of the Borrower.
The loan is intended to be refinanced by a mainstream lender once the child care centre is operating at higher occupancy, following the trade-up period.
brisbane east
Loan Limit: $4,225,000
LVR: 47%
Security: First Mortgage
Investor IRR: 10.05% p.a.
Term: 12 months
The Director and Shareholder of the Borrower is a beneficiary of a large estate that holds several high value assets.
The estate is in the process of being wound up, and has a short term requirement for additional cash to meet its ongoing operating costs, and to facilitate the sale of its assets.
This loan was provided to the Borrower so that it could, in turn, provide a loan to the estate.
The Pillarview loan is secured by the sponsor's principal place of residence - a large luxury residential acreage property in Brisbane's south.
The loan is a low LVR of only 47%.
Once the assets of the estate have been sold, the loan will be repaid, and distributions of further proceeds will be made to its beneficieries.
BRISBANE south
Loan Limit: $3,345,300
LVR: 70%
Security: First Mortgage
Investor IRR: 10.01% p.a.
Term: 12 months
This loan was provided to a repeat Borrower to assist with a 17-lot residential subdivision in a southern suburb of Brisbane.
The Borrower is an experienced developer, and the civil contractor is well known to Pillarview, having completed several projects that we have funded in the past.
At the time of drawdown, the Borrower had obtained sales for 7 of the land allotments. It is the intention to sell the remaining lots nearer- or upon- completion in order to maximise sale price.
The loan is to be drawn progressively in line with monthly claims from the contractor, and will be repaid upon completion of the project from the proceeds of the sales of the end product.
NORTH BRISBANE
Loan Limit: $1,050,000
LVR: 70%
Security: First Mortgage
Investor IRR: 9.74% p.a.
Term: 3 months
One of Pillarview's specialties is providing first mortgage loan facilities to assist with the purchase of development sites.
The subject loan was provided to an experienced developer to assist with the purchase of a site that had a development approval for a 1-into-5 acreage Lot residential subdivision.
The 3-month loan term was provided to enable the borrower to finalise his civil construction contract, after which time, and subject to Pillarview's construction lending criteria, the loan will be internally refinanced to assist with the delivery of the project.
sunshine coast
Loan Limit: $2,810,000
LVR: 65% of the as-is value
Security: First Mortgage
Investor IRR: 10.04% p.a.
Term: 6 months
Pillarview had provided the Borrower with a construction loan to complete the seven lot residential subdivision.
Unfortunately, the civil contractor experienced delays during the building term, and the Borrower had not obtained sufficient sales of the completed allotments to repay the loan prior to the expiry date.
Pillarview subsequently provided an internal refinance of the loan, whereby the construction loan was repaid with a new loan, and all existing investors were paid their capital and interest for the initial term.
The new loan is secured by the 6 individually titled residual allotments.
These are currently being marketed, and the loan is to be progressively repaid from the proceeds of these sales.
brisbane north
Loan Limit: $1,325,000
LVR: 75% of the as-is value
Security: First Mortgage
Investor IRR: 10.01% p.a.
Term: 6 months
The Borrower required gearing of 75% to assist with the purchase of a future residential subdivision site, and was at risk of losing his deposit with a settlement date fast-approaching.
Pillarview prides itself in being able to offer exceptional speed to market, and in this case, we were able to review and approve the Borrower's application, raise investor funds, document and settle the loan within 1 week of receiving all required information.
We were able to offer higher-than-normal gearing of 75% based on the location and quality of the residential property asset.
brisbane
northside
Loan Limit: $1,387,500
LVR: 56%
Security: First Mortgage
Investor IRR: 10.08% p.a.
Term: 12 months
The purpose of this loan was to assist with the purchase of a 'knock-down, rebuild' residential property in a popular north Brisbane suburb.
The Borrower had shown his experience in smaller scale projects such as this, having completed two knock-down rebuild projects on the same road as the subject.
The loan is secured by a first mortgage over the property, and a supporting second mortgage over a partially complete residential construction project.
The total loans were a combined LVR of 55.5% of the aggregate security value.
The Borrower intends to repay the Pillarview loan using sale proceeds of their current project upon completion.
gold coast hinterland
Loan Limit: $1,190,000
LVR: 70% of the as-is value
Security: First Mortgage
Investor IRR: 10.0% p.a.
Term: 6 months
The purpose of this loan was to assist with the purchase of a townhouse development site in the Gold Coast Hinterland.
The Borrower is an existing Pillarview client who has displayed impeccable account conduct and repaid all debt within arrangements.
The 6-month loan term is to allow sufficient time for the Borrower to obtain a DA and negotiate a build contract for the construction of the project.
The proposed exit is via a refinance with a construciton loan from a major bank.
inner brisbane
Loan Limit: $600,000
LVR: 68%
Security: Second Mortgage
Investor IRR: 18.33% p.a.
Term: 6 months
The Borrower is an experienced developer who is in the final stages of completing a 20 unit project.
The Borrower had experienced several delays and cost escalations during the project, which were met from its own cash resources.
This Pillarview loan was provided to give a further cash injection to assist with cashflow requirements and see his project through to practical completion.
The Borrower had obtained presales providing 90% debt cover against the combined first and second mortgage facilities, marketing for the remaining units is ongoing.
The loan is secured by a second mortgage against the development project and is to be repaid from sales proceeds upon the completion.
BRISBANE south
Loan Limit: $200,000
LVR: 73%
Security: Second Mortgage
Investor IRR: 3.0% per month
Term: 2 months
Pillarview offers exceptional speed to market - our streamlined credit approval process enables us to move quickly in order to meet tight settlement timeframes when needed.
The subject loan was provided to meet a shortfall inborrower funds available to settle the refinance of a loan secured against a residential subdivision site in Brisbane's south.
The loan provided a short term solution, and is to be refinanced within the 2-month loan term once the Borrower had raised the cash from his internal sources.
brisbane
south
Loan Limit: $2,145,000
LVR: 65%
Security: First Mortgage
Investor IRR: 10.05% p.a.
Term: 12 months
The purpose of the loan is to assist with the purchase of the future townhouse development site in a southern suburb of Brisbane.
The Borrower is a joint venture between existing developer clients and their town planner.
There are no current development approvals associated with the site. The proposed loan term of 12 months is to allow sufficient time for the Borrower to obtain a Development Approval, Operational Works approvals, negotiate a fixed price building contract for the works, and then subsequently refinance the loan with a construction loan facility.
north of brisbane
Loan Limit: $1,995,000
LVR: 70% of as-is value
Security: First Mortgage
Investor IRR: 10.10% p.a.
Term: 9 months
This loan was provided to assist with the purchase of a 20-townhouse development site, north of Brisbane.
Pillarview is built on relationships, and in this case, the Borrower was a repeat client, having utilised Pillarview in the past to assist with funding for several of their previous development projects.
With a perfect history of repaying loans within arrangements, Pillarview was happy and willing to support this Borrower with his next venture.
The loan is a 70% LVR of the as-is value, and once the Borrower has obtained a DA and is otherwise construction ready, the loan will be repaid with a construction loan.
North Brisbane
Loan Limit: $2,059,000
LVR: 70% of the as-is value
Security: First Mortgage
Investor IRR: 9.81% p.a.
Term: 9 months
As well as providing competitive terms and pricing for loans to assist with the purchase of development sites, Pillarview is also a specialist construction lender, with a particular focus on small and medium scale subdivisions in quality locations.
The subject loan was provided to assist with the delivery of a 1-into-8 Lot residential subdivision.
The Borrowers had modest prior development experience, however a mitigant to this was that the contracter was highly experienced and well known to Pillarview, having completed the civil works for other projects that we have funded.
The Borrower had also obtained three presales which provied market acceptance of the end product. Pillarview provided a market leading solution whereby an additional equity release was to be made available to the Borrower upon obtaining additional complying sales and further de-risking the project with greater coverage of debt.
sunshine coast Hinterland
Loan Limit: $2,450,000
LVR: 70% of the as-is value
Security: First Mortgage
Investor IRR: 10.05% p.a.
Term: 18 months
This is a first mortgage loan against a large rural residential site in the Sunshine Coast hinterland, which refinanced existing first- and second- mortgage loan facilities that the Borrower had used to purchase and subsequently build on the site.
It is the Borrower’s intention to begin a commercial medicinal cannabis operation on the site.
It is intended that the Pillarview loan will be repaid with a loan from a mainstream lender once the operations are under way in 12-18 months’ time.