Mezzanine Property Finance Solutions in Australia
Depending on the project, mezzanine financing can be the perfect solution. It’s a form of funding where a debt position is taken that is subordinate to a senior debt facility but ahead of any equity positions.
When used for the right projects, mezzanine finance reduces the amount of equity contributed by a developer and potentially enables them to spread their capital across multiple projects or get started earlier on a project. A typical mezzanine facility is secured by a second mortgage on the title, and is paid out after the senior debt (original mortgage) but before any equity.
At MFEG, we know when and how to utilise mezzanine finance – if we feel that it’s suited to your particular project, our experienced consultants will provide tailored lending advice to help you achieve your goals.
Why Choose MFEG For Mezzanine Finance?
MFEG has a long and successful track record of helping clients find mezzanine funding for development projects.
We are both direct mezzanine finance lenders and originators, so we can create flexible and working solutions for you to qualify for funding and complete your projects on time.
We’re here to help you and take pride in finding intelligent solutions for your funding concerns.
“We are pleased to work closely with MFEG and have done so for some time. One of our most recent developments comprising 66 apartments in Box Hill was a particularly successful project thanks to Cameron and the team obtaining maximum funding through a combination of 1st Mortgage and 2nd mortgage facilities. The finance structure here enabled us to release equity to use elsewhere which was critical for the cash flow of our business. Cameron Perry and the team have a diverse network of lenders and a thorough knowledge of the workings of property development which enables them to cater the right structure of funding for the projects’ success.”
Melbourne Finance & Equity Group has successfully achieved multiple financing transactions for our group in the last 8 years. Cameron and his team are very helpful and professional with their dealings. They have delivered results on what they have promised and have never let us down. We are greatly happy with their service and professionalism. Wishing Cameron and his team all the best’.
3 Easy Steps to Get Started with MFEG
Fact Find & Initial Transaction Information Forms
Step 1: MFEG have a one-page form for our new customers to complete. Additionally, we ask new customers to provide a small list of documents that supply critical information to price your transaction.
Step 2: MFEG will administer indicative terms for your transaction, and if you are happy to proceed from there, we will issue you an Indicative Term Sheet and an engagement letter.
Step 3: Once you have accepted our Indicative Term Sheet, we will prepare your loan submission and manage your transaction through to settlement.
377 Hectares of Land
Lending Amount: $76m
Solution Provided: Settlement of land purchase based on long term contract. Funding provided against valuation with all capital returned to the purchaser.
23 Apartments & 1 Retail Space
Lending Amount: $23.4m
Solution Provided: Low interest rate loan provided with flexibility around pre-sale requirements
Lending Amount: $21.6m
Solution Provided: funding for the acquisition of a commercial office acquisition at major bank rates for a not-for-profit organisation with no recourse to directors.