Background information of your existing commercial property portfolio
Details of shareholding of the property-holding company and main trading entity
Signed purchase agreement (where applicable)
Details and description of property i.e. erf description, extent of stand, extent of improvements, type of improvements, street address
Rent roll of subject property, indicating the following per tenant: tenant details, gross leasable area (GLA), lease period, lease escalation, rate/m2, gross rent
Schedule of expenditure detailing operational expenses for the subject property
Details of shareholding of the property-holding company and main trading entity
Signed purchase agreement (where applicable)
Details and description of property i.e. erf description, extent of stand, extent of improvements, type of improvements, street address
Detailed track record of developments completed
Feasibility study of proposed project indicating all relevant development costs, proposed income, VAT component, projected profit
Detailed costing including Priced Bill of Quantities (if available)
Detailed schedule of finished development and specifications
Copies of draft/ approved site development plan (SDP), building plans / general plan / subdivision diagram / engineering designs
Zoning certificate indicating approved use for property
Environmental Impact Assessment (EIA) / Record of Decision (ROD) from relevant authority / Conditions of Establishment (COE) / services agreement with local authority in case of township establishment
Any other relevant studies / reports, e.g. geotechnical report and traffic impact assessment
Proof of availability of bulk services (water / sewerage / electricity)
A detailed list of professionals that will be involved in the project and CVs on each
Key considerations for success
Get the balance right
between input and income
What are the key considerations for success when considering property ownership?
Experience in the property investment or development market with a focus on existing infrastructure to manage investment properties / deliver the finished product when developing
Credit history of the applicants
Equity contribution proposed toward investment or development
Property
Location and condition of the property
Market demand for the investment property / proposed product offering in case of the development, e.g. 'let-ability' or 'sale-ability'
Affordability
We will assess the level and sustainability of the cash flow over the loan period and the sureties' ability to subsidise any potential shortfalls
Experience in the property investment or development market with a focus on existing infrastructure to manage investment properties / deliver the finished product when developing
Credit history of the applicants
Equity contribution proposed toward development
Property
Location and condition of the property
Market demand for the investment property / proposed product offering in case of the development i.e. 'let-ability' or 'sale-ability'
Affordability
We will assess the sureties' ability to subsidise any potential shortfalls i.e. servicing of monthly interest, cost overruns during construction period and other cash flow shortfalls
Delivery
The developer's ability to deliver the proposed product within budgetary and time constraints and workmanship of an acceptable quality
We will assess the client's track record, the appointed professional team, and contractor appointed to undertake the construction work
Take-out
We will assess the proposed take-out of the project by scrutinising the market demand for the proposed product offering at the suggested price
In case of residential development, this assessment will be done in consultation with FNB Homeloans