Leo Capitals experience in lending rewrites the ways developers do business in the property world. Rapidly changing marketplace conditions can have a dramatic effect on project profitability, so it makes sense to deal with a financier who is continually up-to-date on the most recent developments, innovations and news in the construction finance market.

From straightforward stand-alone residential subdivision and construction projects to multi-million dollar office and retail developments, Leo Capital welcomes lending opportunities for a vast array of commercial, industrial, retail and residential projects. We can also structure credit enhancements, to increase your ability to obtain bank funding.

Leo Capital covers all facets of construction funding. From the traditional 90 percent of cost funding to highly leveraged structured finance and equity placements, Leo Capital offers a range of construction and development loan options.

The range of products available includes:

• Land-bank finance with interest capitalised or paid monthly. The facilities can be as simple as subdividing a single residential property into two separate titles, to rezoning large tracts of property into hundreds of separate lots. We can assist you in the entire subdivision process, from acquiring the land, assisting in funding the engineering works and infrastructure works (roadworks, sewage, electricity etc); to refinance of your completed project.
• Site acquisition against valuations uplifted by rezoning/planning approvals.
• Progressively drawn construction finance for developer builders or for developers outsourcing construction and covering budgeted construction, construction contingency, project management, consultants costs and holding costs, interest capitalized during construction and the budget selldown period.
• Structured finance solutions to increase gearing as a percentage of project costs to improve return on equity, release equity to the developer, access higher value projects or provide bridging finance across multiple assets.

Leo Capital know that credit enhancements may be necessary for project developers or borrowers, who do not have the necessary credit rating, assets or equity capital to secure suitable financing from commercial banks and the mainstream capital markets.

Together with our financial partners, we can provide a solution for this problem. In select cases, we are able to arrange for a credit enhancement or guarantee product to be underwritten and issued from a rated commercial bank, financial institution, government agencies or insurance company that can be used to secure repayment of financing.

The most common forms of credit enhancement loans are a standby letter of credit or bank guarantee; however, in some situations, we utilize other forms to meet the needs and requirements of our clients which are more common in international transactions.

We have the preference for clients who have or can obtain a lending facility with their bank. We are then able to structure a specific type of credit enhancement service specifically for the interested lending bank’s requirements to ensure that we are able to secure the transaction to the bank’s complete satisfaction.

Additionally, we are capable of organizing both the Credit Enhancement Instrument and corresponding loan.