Client Objective
National Home Builder – Financing for Display Office Acquisition
Strategic Approach
Our client, a national home builder, signed a Put & Call Option to acquire additional office space within their current complex, earmarked for use as a display area. While they initially considered a traditional equity contribution, they sought guidance from STAC Capital on securing financing options that would reduce the required equity, allowing for greater financial flexibility.
The Challenge
The challenge for STAC Capital was the existing General Security Agreement (GSA) held by NAB over the client’s assets, limiting their ability to explore alternative banking solutions.
The Solution
STAC Capital engaged a bank lender that structured a senior debt facility with favorable terms, achieving 70% gearing on a $1,400,000 deal size. The finance arrangement featured a 5-year term with interest-only repayments.
The Result
This solution enabled the national home builder to proceed with their expansion while preserving working capital, positioning them for future growth in display capabilities.
This outcome underscores STAC Capital’s expertise in navigating complex financing landscapes, empowering clients to meet strategic objectives with tailored property investment solutions.