An untapped opportunity was identified with this client, whose previous advisory relationship lacked the proactive, strategic support needed. Upon taking on their portfolio, inadequacies in their debt structure were uncovered, restricting growth and straining cash flow.

Through a tailored restructuring strategy, the construction facility was transitioned to more favourable terms. DIG Capital also ensured the residual stock facility was secured before development completion. This streamlined financing, reduced financial burden and positioned the client for future growth. With a hands-on approach, dedicated debt and credit advisory support is now in place, enabling the client to move forward with confidence.

DIG Capital was engaged to provide expert guidance on restructuring the client’s debt to secure the necessary funding for development completion. A proactive, customised approach was adopted, with time invested in fully understanding the client’s needs and identifying shortcomings in their previous advisory experience. Close collaboration with the sponsors and a non-bank lender experienced in mid-development projects enabled the successful refinancing of the construction facility from a major bank to a new lender, ensuring the timely completion of the warehouses.

Throughout the construction phase, strategic input was provided on securing leases, allowing a smooth transition into a holding facility upon completion. This approach not only facilitated the successful leasing of the development but also strategically positioned the client for long-term growth through the optimisation and streamlining of their debt structure.

Through strategic restructuring, the client achieved significant financial improvements. The new development funding enabled a complete reset of the capital stack, eliminating the need for further equity injections by the sponsors and ensuring the timely completion of the warehouses. Transitioning from a construction facility to a post-completion residual stock facility secured more favourable and cost-effective loan terms tailored to the final phase of development. The fully leased industrial warehouses qualified for a 65% LVR Lease Doc facility with a major bank, further strengthening the client’s financial position.

As a result, the client now benefits from a comprehensive, proactive advisory experience. With expert debt and credit guidance from DIG Capital, their financial strategy is optimised for long-term success, providing clarity and confidence for future growth.