Project Financing - Consulting
AAPAC GROUP assists our
clients to source and arrange venture capital, project finance,
property development funding, real estate development funds, building
financing, construction loan, equity financing, joint venture funding.
We can arrange development finance for property development
projects in
various locations around the world. However, different countries
have different foreign investment control. Funding market is
dynamic and changes quickly with economic climate and political
situation. Successful arrangement of development finance for a
particular project depends on various factors. Professional
analysis and accurate presentation of project value maximization and project execution are important
factors.
We can arrange project finance to suit different project situation.
For
example, we can arrange project finance at the beginning of a
development project at site procurement stage. The project
finance in this case will help the client to secure the site, covering
majority of the site procurement cost - land loan component. The
project finance
will also cover soft development costs, ie. finance, project
management, design costs; and hard development costs, ie.
construction, fitout, ff&e costs - construction loan
component. Sometimes, the project
finance may also cover the interest during the term of the loan, ie.
interest capitalised. In other situation, we arrange development
finance after client has secured a site. The development finance
in
this case covers the soft development costs, mainly design costs
and the hard development costs, mainly construction costs in the form
of construction loan. In many cases, client may require just
construction loan.
We arrange development finance with local banks, project financiers as
well as
international lenders. Source of project finance includes banks,
non-bank lenders, investment funds, private investors, equity financing
lenders and debt
markets. Sources of funds are matched to the type of projects and
scale of funding.
The benefit that we provide to our clients in arranging development
finance is our ability to identify and appraise the different
development
options, design, project delivery and construction methods, which help
to maximize the value and the yield of a development project.
This is particularly important in gaining support and commitment of
financiers, lenders and investors.
Different types of property development projects require different
project financing approach. Residential
apartment project is different from hotel project in the way that
project income is produced and funding returned. And
office building project is different from hotel project.
Likewise,
health care projects is also different. However, the common
requirement from lenders in all types of development project is
professional market research, feasibility study and project development
plan. The critical success factors are timing, a good outcome of
the project valuation, a credible feasibility study and a convincing
project
development plan.
We handle project finance from a few millions to over $100M.
