Banking & Finance
Banking & Finance » Property & Development Finance
The Australian property finance market is experiencing funding constraints in a post-GFC environment and this is naturally impacting the actions of borrowers and financiers.
The banks have pulled back from their property exposures and borrowing options have become more restricted.
Corrs experience in this area becomes even more valuable in this restricted market to quickly identify key financing issues, and offer innovative structured property financing solutions to financiers and sponsors.
Our Experience
Lockerbie Sheep Station sale: Australia’s largest individual land transaction
The Lockerbie Sheep Station, a 1,121 hectare development site about 35 kilometres north of Melbourne, Victoria, was purchased by Stockland Limited for $300 million. It was Australia’s largest ever individual land transaction.
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Private equity giant Blackstone’s $806 million takeover bid for cash strapped Valad Property Group
Leading U.S. private equity firm Blackstone’s acquisition of debt laden Valad Property Group is the first time for a number of years the local market had seen the financing of a private equity house for the acquisition of an Australian real estate group.
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Upper West Side development property financing
Based in the heart of Melbourne, the ‘Upper West Side’ is one of the largest inner city developments in Australia, with 2600 residential apartments over four towers, 30 retail outlets and a project value of approximately A$1 billion.
MoreOur Thinking
Doing Business In Australia
Australia is an exceptional place in which to do business. Find out how we can help you develop your business in Australia.
DownloadCorrs In Brief: The Federal Court declines to expand the law of penalties
In a recent high profile decision, the Federal Court declined to expand the situations in which the law will strike down an agreed sum to be paid upon the happening of certain events (the law of penalties).
More
The break-up of the Eurozone? Implications for Australia
Hopes were high that a resolution to the European crisis could be achieved at last week’s EU summit. However, departure of one or more countries from the Eurozone is a real possibility. We consider what this means for Australia.
More
Eurozone crisis may have a silver lining for Australian infrastructure
The Eurozone crisis is of fundamental concern for global economic stability. How should Australia respond?
MoreOur Experience
Lockerbie Sheep Station sale: Australia’s largest individual land transaction
The Lockerbie Sheep Station, a 1,121 hectare development site about 35 kilometres north of Melbourne, Victoria, was purchased by Stockland Limited for $300 million. It was Australia’s largest ever individual land transaction.
Traditionally Melbourne has sprawled substantially east and south, but since the redefined Urban Growth Boundary, the northern area had been rezoned for residential use and this was one of the first major deals to redefine the new urban landscape.
The transaction required the Corrs team to prepare a comprehensive risk assessment of complex long term development agreement, which included a review of tax, stamp duty, planning and Growth Area Infrastructure Contribution (GAIC) issues.
The Corrs team acted for the freehold financier on the structured sale.
Private equity giant Blackstone’s $806 million takeover bid for cash strapped Valad Property Group
Leading U.S. private equity firm Blackstone’s acquisition of debt laden Valad Property Group is the first time for a number of years the local market had seen the financing of a private equity house for the acquisition of an Australian real estate group.
Corrs was able to deliver a strong outcome for the financiers JP Morgan and National Australia Bank on the hybrid deal, bringing strong leveraged finance and property finance capability.
Upper West Side development property financing
Based in the heart of Melbourne, the ‘Upper West Side’ is one of the largest inner city developments in Australia, with 2600 residential apartments over four towers, 30 retail outlets and a project value of approximately A$1 billion.
The Corrs team has acted for a bank syndicate comprising ANZ, OCBC and UOB in relation to the $150 million funding of stage one of the development.
The team was heavily involved in negotiating the D&C contract, to ensure that the contractor was responsible for delivering key environmental and insurance outcomes, and that construction risk was allocated appropriately.
The team also had significant input into aspects of presale contracts, which ultimately resulted in clean due diligence reports being provided to the Agent, enabling a streamlined syndication and closing.
Our Thinking
Doing Business In Australia
Australia is an exceptional place in which to do business. Find out how we can help you develop your business in Australia.
Eurozone crisis may have a silver lining for Australian infrastructure
The Eurozone crisis is of fundamental concern for global economic stability. How should Australia respond?
The break-up of the Eurozone? Implications for Australia
Hopes were high that a resolution to the European crisis could be achieved at last week’s EU summit. However, departure of one or more countries from the Eurozone is a real possibility. We consider what this means for Australia.
Corrs In Brief: The Federal Court declines to expand the law of penalties
In a recent high profile decision, the Federal Court declined to expand the situations in which the law will strike down an agreed sum to be paid upon the happening of certain events (the law of penalties).
Our Experts
Brad Husband
Partner Melbourne +61 3 9672 3492
Henry Self
Partner Sydney +61 2 9210 6067