Whether you're buying a commercial property, funding a development, expanding your business or refinancing existing facilities — commercial lending is different. We structure solutions that fit your deal, not the other way around.
Development finance funds the purchase of land and the cost of construction — from small residential subdivisions through to multi-unit developments and commercial projects. Unlike a standard mortgage, development funding is released in stages as the project progresses, and interest is typically capitalised into the loan rather than paid monthly. This preserves cash flow during the build.
Lenders assess development finance on the project's commercial viability — not just the borrower's income. They examine feasibility, council approvals, builder credentials, pre-sales where required, and the developer's track record. The right structure can significantly impact your return on equity. Below we explain the two main funding models lenders use — TDC (Total Development Cost) and GRV (Gross Realisation Value).
Based in Adelaide, Adelaide Finance Specialists assists developers, investors and businesses throughout South Australia and across Australia. We structure development funding across land subdivision, multi-unit construction, commercial development and staged projects — working alongside your solicitor, accountant, builder and project team to get the deal done.
Beyond development finance, we structure the full range of commercial lending. Here are the other types we regularly work with.
Buying an office, retail space, industrial property or warehouse — owner-occupied or investment. LVRs typically 65-75% with terms structured around property cash flow.
Purchasing premises your own business will operate from. Often more favourable terms than investment — lenders like that you control the tenant.
Buying a commercial property with an existing tenant and lease in place. Lenders assess the lease terms, tenant quality and property yield.
Land subdivision, multi-unit construction and commercial development. Staged drawdowns, capitalised interest, GRV and TDC structures — see the detailed sections further down this page.
Buying an existing business or franchise. Lenders assess the business's financials, your industry experience and the security available. Often requires specialist non-bank lenders.
Funding for vehicles, machinery, plant, technology and other business assets. Can be structured as lease, hire purchase or chattel mortgage — often with tax advantages.
Short-term funding to cover day-to-day operations, stock purchases, or bridging cash flow gaps. Invoice finance, overdrafts and debtor finance are common structures.
Unsecured or partially secured lending based on business revenue and cash flow rather than property assets. Useful for businesses with strong turnover but limited hard security.
Refinancing existing commercial facilities to access equity, secure a better rate, consolidate debt or restructure for changing business needs. Similar to residential refinancing but with commercial assessment criteria.
Commercial finance isn't about picking a product off the shelf. It's about structuring a solution that works for your specific deal — and that takes experience.
Most commercial deals involve trusts, companies, multiple borrowers, or cross-collateralisation. We structure transactions so they work for lenders — without compromising your commercial objectives.
Many of the best commercial lenders aren't household names. We have relationships with banks, non-banks, private lenders and specialist funders — and we know which ones suit which deals.
We regularly work alongside accountants, solicitors, buyers' agents, commercial real estate agents and developers. A well-coordinated team means a smoother transaction and fewer last-minute surprises.
The first lender doesn't always say yes. We know which issues can be solved, which lenders will work through complexity, and how to present a deal to give it the best chance of approval.
We don't just arrange loans — we structure complex lending solutions. That's the difference between a broker who does commercial and one who specialises in it.
Every deal starts with understanding your goals. Here's how we work — from first conversation to settlement and beyond.
We sit down — in person or online — to understand your project, business or acquisition. What are you buying? What's the timeline? What structure makes sense? This is where we identify the right approach before anything goes to a lender.
We review your financials, structure, projections and any supporting material. For businesses: tax returns, BAS, financial statements. For developers: feasibility studies, council approvals, builder contracts. We identify what strengthens your application.
Not every lender suits every deal. We match your transaction to the lenders whose credit policies, appetite and pricing fit. This might be a major bank, a non-bank lender, or a private funder — we'll explain why.
We prepare the application, structure the security, model the numbers and present the deal to the lender in a format they understand. This is where experience matters — a well-structured application gets approved faster.
We secure indicative approval — confirming the lender's in-principle support, the terms, rate and conditions. This gives you confidence to proceed before committing to full documentation.
We manage the valuation, legal review and formal approval process — coordinating with your solicitor and accountant to get to settlement smoothly and on time.
The relationship doesn't end at settlement. We review your facilities as your business grows, when rates move, or when new opportunities arise. A commercial finance partner, not a one-off transaction.
Questions we hear regularly from business owners, investors and developers.
Development finance is a specialised form of funding tailored for the construction and development of real estate projects, from small residential builds to large-scale commercial complexes.
Unlike a standard mortgage, this type of finance is structured to cover both the acquisition of the land and the phased costs of construction.
Funding is not disbursed as a single lump sum. Instead, it is drawn down in stages that align with construction milestones, similar to a residential construction loan.
Interest is often "capitalised," meaning it is added to the loan balance rather than being paid monthly, with the entire loan principal and accumulated interest repaid upon the sale of the completed properties.
Lenders in this space conduct rigorous due diligence before approving a loan. The assessment goes far beyond the borrower's personal income, focusing on the commercial viability of the project itself.
A detailed analysis of the project's plans, council approvals, and projected profitability. Lenders will typically want to see a minimum net profit margin of 15-25% on the project's completion.
A proven track record of successfully completed projects is highly valued by lenders.
The reputation and reliability of the chosen builder and project manager are also scrutinised.
When determining how much a developer can borrow, lenders primarily use one of two models. Understanding the difference is crucial for maximising your Return on Equity (ROE).
Total Development Cost
The loan amount is calculated as a percentage of the total project costs, which include land, construction, and associated soft costs.
A typical TDC loan might be capped at 80% of the total costs, requiring the developer to contribute the remaining 20% as equity.
Traditional model favoured by major banks
Gross Realisation Value
The loan amount is based on a percentage of the project's forecast end value upon completion.
A lender might offer finance up to 70% of the GRV.
Offered primarily by non-bank and private lenders
While GRV-based finance often comes with higher interest rates and fees, it provides two significant strategic advantages:
Because it is based on the higher end-value figure, it frequently allows the developer to borrow a larger sum of money, thereby reducing the amount of upfront equity needed. This can free up capital to pursue other opportunities.
GRV lenders often have minimal or no pre-sale requirements, allowing the developer to hold the completed stock and sell into a potentially stronger market, thus maximising their final profit.
A broker's role is to act as a financial analyst, modelling both scenarios to help the developer determine which structure will deliver a higher Return on Equity (ROE) for their specific project.
Before you sign a contract or commit to finance, talk to us. We'll help you understand which structure gives you the best outcome — and which lenders are most likely to say yes.