Property Development & Construction Finance Australia
Construction rarely goes exactly to plan. Your funding needs to be built for that.
Construct Financial structures property development and construction funding for projects across Australia.
From senior construction debt and second mortgages to mezzanine finance, preferred equity and cost-overrun capital, we bring together the right funding structure for the project, its stage and the pathway to completion.
Development changes. Your funding structure needs room to move with it.
Council approvals take longer than forecast. Building programs shift. A contractor fails. Material and labour costs rise. Presales settle later than expected.
These events do not automatically make a development unviable. But they can expose a gap between the original facility and the capital now required to reach completion.
Construct Financial helps developers address that gap before it stops the project.
We assess the asset, construction position, remaining costs, existing debt and realistic exit strategy. We then determine how the funding stack may be restructured, extended or supplemented to help move the development forward.
Approval delays
Funding while planning, permits or approvals progress.
Construction delays
Flexible structures for revised programs and completion dates.
Cost overruns
Top-up capital for increased build and completion costs.
Funding shortfalls
Second mortgage, or equity solutions where senior debt is insufficient.
How It Works
A clear process from initial review to settlement
1
Submit the project
Provide the site, project type, development approval status, construction budget, existing debt, amount required and intended exit.
2
We assess the funding position
We review the asset, borrower experience, construction position, feasibility, valuation, remaining costs and pathway to completion.
3
We structure the capital stack
We identify whether the project requires senior debt, mezzanine finance, equity or a combination of funding sources.
4
We approach suitable capital partners
The opportunity is presented selectively to funding partners, investors and our own fund to structure a complete facility.
5
Indicative terms and due diligence
Where there is funding appetite, indicative terms are issued and the project progresses through valuation, legal review and formal due diligence.
6
Documentation and settlement
Once approved, the facility is documented, settled and drawn in accordance with the agreed funding structure.
Funding Solutions
Property development finance structured across the capital stack
No two developments have the same funding requirements. We structure facilities around the project rather than forcing the project into a standard lending product.
Senior Debt
Mezzanine
Equity
01
Land and Site Acquisition Finance
Short-term funding to secure a site during planning, refinance or the period before construction funding begins.
Explore Land and Site Acquisition Finance →
02
Construction Finance
First mortgage facilities for residential, commercial, industrial, mixed-use and land development — drawn progressively against construction milestones, with interest capitalised so project cashflow stays intact.
Explore Construction Finance →
03
Stretch Senior Facilities
A single facility taken higher up the capital stack at blended pricing. One lender, one set of documents, no intercreditor deed to negotiate between senior and mezzanine parties.
Explore Stretch Senior Facilities →
04
Mezzanine and Second Mortgage Finance
Subordinated development finance designed to bridge the gap between senior debt and developer equity, including second mortgage security positions.
Explore Mezzanine Finance →
05
Preferred and Structured Equity
Additional development capital for projects requiring a larger or more flexible funding contribution.
Explore Development Equity →
06
Cost-Overrun and Top-Up Funding
Capital for projects already under construction where revised costs exceed the original facility.
Explore Top-Up Funding →
07
Project Rescue and Completion Finance
Funding for projects that have stalled — builder insolvency, an incumbent lender declining to extend, or a facility approaching expiry before practical completion. We take out the existing financier and fund through to completion.
Explore Project Rescue and Completion Finance →
08
Residual Stock and Exit Finance
Funding against completed or near-completed projects while stock is sold or refinanced.
Explore Exit Finance →
Property Development and Construction Finance FAQs
Frequently asked questions
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Construct Financial can source and structure senior construction debt, first mortgages, second mortgages, mezzanine finance, preferred or structured equity, bridging finance, land finance, residual stock finance and cost-overrun funding.
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Construct Financial is a specialist construction finance and capital procurement firm, working through a network of funds, private investors and our own fund.
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No. 268 Fund is one potential source of capital within the broader funding network. Transactions may be funded by 268 Fund, another capital provider or a combination of funding parties, subject to mandate, due diligence and approval.
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Some capital providers will consider projects with nil or limited presales. Approval depends on the location, project type, gearing, borrower experience, valuation, market demand and proposed exit strategy.
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Yes. We assess partially completed projects requiring refinancing, cost-overrun funding, a second mortgage, mezzanine capital or additional equity. The project must demonstrate a credible cost-to-complete position and exit strategy.
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Cost-overrun funding is additional capital used when the remaining construction and project costs exceed the undrawn amount available under the existing facility. It may be structured as additional senior debt, a second mortgage, mezzanine finance or equity.
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Construct Financial generally focuses on property development and construction funding from approximately $3 million to $100 million, with larger transactions considered individually.
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Timing depends on the quality and completeness of the information supplied, the project complexity and the capital providers involved. Providing a current feasibility, valuation, development approval, quantity surveyor information, construction program and details of existing debt will assist the initial assessment.
A funding gap does not have to become a stalled development.
Whether you are acquiring a site, commencing construction, replacing an existing lender or addressing a cost overrun, speak with a team that understands development finance from the ground up.