$3.48M Development Facility | 9 Dwellings | 65% LVR

Three experienced property investors were seeking to refinance existing debt and complete the construction of a 9-dwelling development in Otahuhu.

Unlike a typical build-to-sell project, the strategy was to retain all completed dwellings as long-term investment properties.

Loan Summary

• Amount: $3,476,050 including capitalised interest, fees and development funding.

• Term: 12 months

• Rate: 5.95% p.a. with interest capitalised.

• LVR: 65%

• Purpose: Refinance existing debt and fund construction of 9 residential dwellings in Otahuhu

The Challenge

The borrowers required a lender willing to fund both the refinance and construction phases under a single facility while allowing all nine completed homes to be retained as investment properties. Traditional lenders were less comfortable with the combination of development funding, capitalised interest, and a hold-and-retain exit strategy.

The Cressida Solution

• Development Funding: Provided a facility of up to $3.48M including refinance and construction funding.

• Capitalised Interest Structure: Interest and line fees compounded monthly, eliminating the need for monthly servicing during construction.

• Flexible Exit: No early repayment fee following issuance of Code Compliance Certificates

• Progressive Drawdowns: Construction funding advanced through milestone-based progress payments aligned with their builder’s payment schedule.

The Result

A $3.48M development facility enabling the borrowers to refinance existing debt and complete a 9-unit residential development while retaining the completed dwellings as long-term investment assets.

At Cressida, we deliver practical, flexible funding solutions.

Need a flexible construction facility? Let’s talk.