Tier Classification of Builders Calendar 2022 and 2023 has seen an unprecedented number of builders across Australia fail and go into external administration and liquidation, across all tiers, ranging from smaller, local home builders through  to some national and international builders. The main reason seems to be lack of financial strength and in some cases […]

SBBIS Update The Strata Building Bond & Inspection Scheme The Strata Building Bond and Inspections Scheme (“SBBIS”) came about as a result of a spate of fires and structural defects – see the video interview and download the comprehensive discussion paper: In JP’s Kitchen — LINK Commercial Mortgages (linkcm.com.au) A Deakin University study found that […]

The Residential Property Market Is Off To A Great Start In 2024 Across Australia, real estate agencies are reporting a strong and encouraging start to calendar 2024. We are looking at two consecutive Super Saturdays with over 6,000 homes set to go to auction across Australia. Buyer demand is keeping up with the high volume […]

The Advantages of Institutional Commercial Mortgage Finance LINK Commercial Mortgages (“LINK”) was established in 1999 to serve and cater to the requirements of commercial and industrial property investors who were seeking viable alternatives to oppressive bank lending practices.   Our reputation for integrity and professionalism in the Australian credit sector has been painstakingly earned  over […]

The Private Mortgage Sector The Australian Credit Market is segmented in to four tiers as suggested by the writer sincesubmitting an expert evidence report to the Supreme Court of NSW in 2009. The different tiers broadly represent different types of: ▪ credit (eg: NCCP regulated home lending, trade finance, asset lending, and so on), and […]

Measuring Project Feasibility, Development Spread There are several metrics in analysing a property investment or a property development proposal, particularly on a construct-and-retain basis; one of which is called Development Spread. The best way to describe Development Spread is that it’s a good, old-fashioned back-of-the-envelope calculation that old-school property developers use (and some younger ones, […]

Pre-Lease Agreements Heads of Agreement (HoA) vs. Agreement for Lease (AfL) LINK is able to include future rental incomes from proposed commercial-industrial tenants of vacant investment property being acquired or under construction. This future rental income and the terms and conditions that govern it are typically identified within a Pre-Lease Agreement.   Pre-lease agreements are […]

Construction Finance LINK Commercial Mortgages (“LINK”) was established in 1999 to serve and cater to the requirements of property developers who were seeking viable alternatives to conservative bank lending policies.   Our reputation for integrity and professionalism in the Australian credit sector has been painstakingly earned over the past almost three decades.   LINK provides […]

The Personal Property Securities Register (PPSR) In a commercial property finance transaction, there are several types of security taken by a lending institution to ensure recovery of its capital. The obvious and main security is a first ranking registered mortgage, commonly referred to as a first mortgage. Among the other types of security is what […]

Latent Defects Insurance Latent Defects Insurance (LDI) is also known as Decennial Strata Insurance. It is common in several overseas countries, such as France and Sweden, where the residential construction and development sector is dominated by large corporates akin to our Lend Lease and Stocklands. LDI is now being promoted in Australia as an alternative […]