A flexible financing solution facilitates the development of much-needed housing in Bundaberg.
Trilogy Funds recently settled a $10.1 million construction loan to assist a developer with the subdivision of a 41-lot residential development in Innes Park, Bundaberg. This development forms the first of five stages of Innes Estate, which will ultimately deliver 156 houses in a region that is currently experiencing significant undersupply.
Bundaberg is one of the Fraser Coast’s key regional hubs for both agriculture and tourism and has experienced sustained population growth over the past seven years, underpinned by over $700 million in local investment by Bundaberg Council. While this growth has undoubtedly benefitted the region, it has also resulted in the Bundaberg Local Housing Action Plan, created to respond to a range of immediate, emerging and longer-term housing challenges in the region.
Working with Trilogy Funds allowed the developer to conclude a civil works contract with an immediate commencement date subject to formal loan approval. Thanks to Trilogy Funds’ experience and specialist expertise, we were able to appropriately assess the project’s risk and proceed with finance, despite the absence of pre-sales. This was offset by a conservative loan-to-value ratio, the strength of the consultant team, and the underlying merits of the project.
Highlighting both the need for residential supply in Bundaberg and the strength of the Innes Estate development, 21 pre-sales have since been secured with a gross total of $7.38 million. Considering the loan settled in late-May and development began in June, this is a fantastic result.
Settled by Jack Mihajlovic.
Whether you’re developing regional residential or infill industrial, Trilogy Funds delivers finance designed to fit your project. Enquire today Click here.
Loan specifics
| Loan Amount | $10.127 million |
| Loan Term | 15 months |
| Loan Type | Construction |
| Loan-To-Valuation Ratio | 55.58% (including GST) |
