Buying a development site is rarely straightforward. You’re juggling timelines, valuations, planning risk, and the pressure of an urgent settlement date. A secured loan for development site acquisitions provides fast, practical access to capital by using real property as security, so you can move confidently while finalising long-term funding or approvals. At Secured Lending, we’ve advised and assisted borrowers with development site acquisitions across Australia, and we understand the real-world pressures behind each decision. Assess your scenario today.
What a Secured Loan Can Do for Your Site Purchase
A secured loan provides funding against property you own (or the site being acquired) to meet a purchase price, pay stamp duty and GST, and cover immediate costs like planning reports or holding costs. It’s especially useful when banks move too slowly, your feasibility depends on pending approvals, or you need a short bridge before construction finance. These loans are typically short term (3–18 months), interest-only, and structured around your exit: refinance to a bank or construction facility, asset sales, or presales-driven funding.
Key Benefits for Development Site Acquisitions
- Speed and certainty: When a vendor wants a quick exchange and you’re facing an urgent settlement, private credit allows a faster path. With complete documents and clear security, same day settlement and funding within 24 hours are possible.
- Flexibility on structure: Funding can be secured by the target site, additional properties, or both. First mortgage is ideal; a second mortgage can work when a senior lender is already in place.
- Leverage that matches your risk stage: If your DA is not yet approved, or rezoning is pending, a secured loan can fund the acquisition while you de-risk the site.
- Cash flow management: Interest can often be funded from loan proceeds to preserve working capital for due diligence, consultants, and early design costs.
- Focused on outcomes: You get time to finalise planning, feasibility updates, valuation, and your construction finance pathway without losing the site.
How We Structure Secured Funding
- Security: First mortgage over the site is standard; second mortgage is considered where equity is strong and the senior lender consents. Additional security can widen options.
- LVR expectations: Typically more conservative at the raw land/DA stage; higher leverage may be possible for infill sites with strong comps and clear planning.
- Term: 3–12 months is common, with extensions subject to milestones and market conditions.
- Costs: Establishment fees, interest (usually interest-only), valuation and legal. We keep costs transparent up front.
- Exit strategy: Refinance to construction debt, bank refinance once DA is granted, staged asset sales, or equity injection on milestone.
Bridging Loans for Development Site Acquisitions
A business bridging loan helps you secure the site now while you complete the steps a mainstream lender requires. Typical use cases include:
- Option expiry or short settlement: Use bridging loans to avoid missing the window.
- DA pending: Acquire the site, complete reports, then refinance once DA is granted.
- Equity realignment: Tap equity in another property to close the gap without forced sales.
- Bank timing: If a bank has approved in principle but can’t meet the settlement date, a bridge carries you through to final drawdown.
This approach is especially helpful in Sydney, Melbourne, Brisbane, Perth, and Canberra, where competition for quality sites is strong and timing is critical.
Private Lender for Development Site Acquisitions
As a Private Lender in Sydney, we make credit decisions quickly and align terms with your project milestones. We also operate Australia wide: Adelaide, Melbourne, Brisbane, Perth, Gold Coast, Canberra. You get direct access to decision-makers, a practical assessment of planning risk, and a funding structure that suits the real flow of your acquisition and feasibility. If you need a simple path to settle, review, and then refinance, we’ll structure it with clear conditions and timelines.
When a Secured Business Loan Is the Right Fit
Secured business loans are often the most efficient tool for a land purchase tied to a business or development entity. They can be used for:
- Paying deposits, stamp duty, rates, and early consultant fees
- Finalising due diligence before DA lodgement
- Managing GST/BAS obligations around settlement
- Holding costs while you negotiate presales or JV terms
Because these are secured against property, they can be arranged more quickly than unsecured options and sized to your equity position.
What We Look for When Assessing Your Scenario
- Site fundamentals: Location, comparable sales, zoning, and services.
- Planning and approvals: Status of DA or rezoning, consultant reports, and any pre-lodgement feedback.
- Valuation: As-is market value and, if helpful, as-if-complete context to understand the end game.
- Feasibility and exit: Build costs, end values, presales strategy, and the target lender for refinance.
- Borrower profile: Experience and the professional team you’ve engaged (planner, architect, QS, solicitor).
Timelines and What to Prepare
If documents are ready, we can move fast. A clean information pack shortens everything:
- Title search, contract of sale, site plan, and any existing reports
- Company structure and ID
- High-level feasibility and exit plan
- Summary of required amount and timing
With that, we can issue heads of terms quickly. Valuation and legals are ordered immediately. Where the deal is straightforward and the site is clear, we can target same day settlement or funding within 24 hours to meet an urgent settlement.
Comparing Options: First Mortgage vs Second Mortgage
- First mortgage: Lower pricing, higher leverage, simpler legals. Ideal when buying unencumbered or refinancing an existing facility at settlement.
- Second mortgage: Useful if a bank facility must remain in place. Works when there’s strong equity and a defined short-term exit (e.g., bank refinance once DA is granted).
Locations We Actively Support
We regularly facilitate development site finance across Sydney, Melbourne, Brisbane, Perth, and Canberra, with appetite for both metro and strong regional corridors. If your project sits near transport, education, or employment hubs, we’ll consider it on its merits.
How We Can Help
We coordinate the moving parts so you can focus on securing the site and progressing the project. We review your scenario, structure a practical loan, line up valuation and legal, and confirm clear milestones to your exit. Whether you need bridging loans, a second mortgage, secured business loans, or caveat loans, we’ll help you choose the cleanest path to settlement and beyond. Secured Lending is a short-term lending solution you can rely on. When you’re ready, our team is here to help you move quickly and confidently. Our team specialises in urgent short term loans solutions such as bridging finance, second mortgages, and caveat loans. We have provided strategic advice and facilitated loans for development site acquisitions in the past.
FAQs
1) What loan-to-value ratio can I expect on a raw site?
LVR depends on zoning, location, and planning progress. Unzoned or early-stage sites typically attract lower LVRs than DA-approved sites. We assess equity strength and the clarity of your exit before confirming terms.
2) Can I use additional properties to increase my borrowing capacity?
Yes. Cross-collateralising with other real estate can improve leverage and pricing. This can be especially useful if the target site is early-stage and you want to preserve cash for consultants and holding costs.
3) How fast can you settle if my bank can’t meet the deadline?
With complete documentation and cooperative legals, we can work toward same day settlement or funding within 24 hours. If valuation or titles are complex, we’ll set a realistic path and move as quickly as the information allows.
4) Do I need presales or a DA to qualify?
No, not always. For acquisition funding, we focus on the as-is value, planning pathway, and your exit strategy. Presales and DA are more relevant to construction funding, but a credible plan to reach those milestones strengthens your case.
5) What are typical exits from an acquisition loan?
Common exits include bank refinance after DA approval, moving to a construction facility, or partial asset sales. We’ll help you map the timing and requirements so your exit is achievable within the loan term.
