first mortgage case no.2
An experienced land developer owned a development project, which since 2007 had an approval for a 23 land lot subdivision.
With market conditions improving, the developer approached the major bank already funding the site to provide a larger facility to fund the civil works to create the 23 lots. After a prolonged period, the bank declined to provide further funding. Faced with terms expiring on a keenly priced civils contract, and missing the sale of the 23 lots in a strong market, the developer was seeking an immediate solution.
By reviewing the surrounding market, and recognising the merit of the well-priced civils program, Dorado refinanced the existing major bank facility and immediately went on to fund the civils program. Dorado also assisted the developer’s pre-sales program by introducing them to well-suited sales agents. The lots were completed on time with all 23 pre-sold lots settling, with Dorado being repaid from initial settlements, and the developer collecting the balance of proceeds.