North Bondi

North Bondi, New South Wales

Term 14 months

Project Value $8 million (on completion value)

Loan Type First mortgage land and construction

Sector Residential Townhomes

Project Highlights
  • LVR of 82%
  • Loan to cost ratio of 97%
  • Loan facility $6m
  • Collateral secured on nearby apartment

The Reina Street loan afforded the construction of a luxury duplex in a highly-sought Sydney beachside suburb, representing a rare new product in a market with limited supply.

The project ran over term forcing the sale of apartments during a property market lull created by policy ambiguity in the campaign periods for concurrent Federal and NSW State elections. Despite numerous obstacles, with White & Partners oversight the project was completed, the loan was repaid and investors repaid. White & Partners actively worked with the developer and independent quantity surveyor to initiate and subsequently manage the construction process.

The loan facility was structured with a strong security package: in addition to the first mortgage over the property, a first mortgage was also established on a residential apartment in a neighbouring suburb valued at approximately $2.8 million. The first mortgage nature of the collateral was a key aspect which underpinned the appeal of the asset as a loan candidate.