Services
Land Bank Finance
Process
Brief
Simple and fast land bank funding. Secure your future development site, until you’re ready to start construction.
Tailored Land Bank Finance
If you’re a property developer aiming to expand your portfolio through land banking, our specialised land bank finance solutions can be your strategic partner. Here’s how we can assist you in optimising your investment:
- Customised Loan Solutions: Our team collaborates closely with you to ensure that every aspect of the loan—interest rates, Loan to Value Ratios (LVRs), terms, and serviceability requirements—is precisely aligned with your unique needs and financial strategy.
- Extended Development Time: A land bank loan provides the flexibility you need, granting you more time to transform your site into a lucrative, marketable asset. This strategic delay can be crucial for enhancing the property’s value and potential.
Risk Mitigation During Loan Term
Understanding the intricacies involved in property development, we are committed to helping you minimise risks during the term of your land bank loan. Here are the key steps you can focus on:
- Design Finalisation: Ensure all design aspects are completed to perfection, aligning with your vision and market demand.
- Zoning and Approvals: Secure necessary zoning and construction approvals, smoothing the path for future development.
- Marketing and Pre-Sales: If required, initiate marketing and pre-sales efforts to gauge interest and lock in potential buyers.
- Construction Approvals: Obtain all necessary approvals to commence construction, paving the way for a seamless development process.
By addressing these critical areas, you can effectively reduce project risks and enhance the potential for successful outcomes. Our land bank finance solutions are designed to provide you with the support and flexibility needed to achieve your development goals.
General Questions about land bank finance
Generally Land Bank Finance is required when your land or site is been considered for rezoning and ultimately a DA approval or you are still in the process of obtaining a development or construction finance approval for your project.
In Land Banking Finance usually there is no documentation of serviceability required and the loan to value ratio can be considered up to 65% LVR. Also there is no need for a Development Approval. Lenders may also consider a Cash-out for working capital from loan funds. A Land Bank Loan can also allow you more time to get ready for the construction phase of your development project.
Generally you can obtain a loan term of 24 months and during this time your can undertake your DA approvals and your development finance approvals.
The loan amount depends on the lender however, some lenders will go from $50 million to $100 million or more depending on the type of development project and the exit strategy of your overall plans.
