There are only two windows to crystallise profit on a development. The first window is exceptional land purchase. For most developers this is already a given as they purchase first and ask questions later.
The second window is conceptualisation, approvals and pre-leasing. This is where a development makes money, or loses money and becomes a value trap. The entire value creation process occurs at this stage, not as most think during construction.
Linear’s deep experience in concept development, value creation and construction add significantly to the profitability
of any development or construction project.
Construction financing has evolved to match the complexity of the construction itself. Traditional pathways of bank lending have cooled, and it their place a full suite of private debt and equity solutions have emerged.
Linear’s principals having been AFSL licensed, having run property and debt funds are perfectly placed to not only provide advice on how to approach the capital stack, but who to partner with so that you are still in business by the end of the project.
Project salvage is a new advisory service that Linear Capital has launched to support clients. Most developments get into trouble when they are closest to completion, but the client is extended to their maximum and unable to source further funding or equity.
Projects are ironically closest to being in the money at that point yet fail because there are limited ways for support to be provided. Linear Capital understands the development process well and can assist with both advice and funding to make sure developments are closed out and completed.
If the project is salvageable, we can assist.
