Property Finance

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Tailored underwriting solutions can significantly strengthen large property transactions, in particular by enhancing the commercial viability of projects which are fundamentally sound but unable to attract funding.

Property Finance solutions are applied at various stages of a development, limiting risk and underwriting performance at key appraisal points. This enables precise financial planning and ensures that the project meets its critical targets. The correct underwriting solution may also reduce the cost of funds for a development.

Risk Solutions International has developed underwriting solutions for a variety of property developments, including hotels, high rise and unit developments. Its underwriting solutions have assisted property developments to achieve maximum acceptance with financiers.

Residual Value

Residual Value Bonds guarantee a minimum value for a property at a set date in the future.

 

Mezzanine Debt Support

This protection ensures a minimum return to mezzanine debt providers in the event of a default.

Take Out

Take Out protection allows the financier or investor to 'put' the property to the insurer, or 'take out' their risk at a specified date in the future, or upon a pre-determined occurrence

Pre-sales Gap Cover

Pre-sales Gap Cover underwrites the 'gap' between the required level of pre-sale commitment required at a particular point of the construction period and the level of pre-sales actually achieved, thereby guaranteeing the pre-sales requirement for the financier (or investor) and allowing construction to commence prior to the pre-sales commitment having been achieved.

Pre-sales Securitisation

Pre-sales Securitisation provides that contracted pre-sales will settle, allowing securitisation of pre-sales to occur.

 

Risk Solutions International also provides the following products to enhance property developments:

Lease Commitment Gap Cover
Performance Guarantee Extensions
Financial Guarantee Undertakings
Settlement/Purchaser Default Insurance

 

Risk Solutions International sources capital for Property Finance in Australia, Europe and the United States.
Only underwriters with a S&P rating of A or internationally accepted equivalent are used.