Childcare Development Morrinsville – Waikato

Childcare Development Morrinsville – Waikato
Finance

Loan Amount:

$2,500,000.00

Funding lines

Interest Rate:

8.25% p.a.
Term

Loan Term:

12 Months

Location

Location:

Morrinsville, Waikato

Background

Loan Purpose:

  • To complete the construction of a new childcare centre at the security property in Morrinsville – capable and experienced child care operator
  • Resource and Building Consents were issued
  • The building was already well-progressed with the highest risk portion of the build complete when the bank refused to continue support
  • Development loan with an appointed Quantity Survey to certify monthly drawdowns from development funds held by the lender
  • Interest 100% capitalised and paid monthly from the interest provision retained by the lender
  • On-completion LVR = 42%
  • Property leased and sold prior to repayment of the loan