Distressed Construction
Strategic Funding Solutions for Distressed Construction Projects
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In the construction sector, delays or disruptions can significantly impact project viability and investor outcomes. At NWC Finance, we provide specialised short-term funding to support projects experiencing mid-stage financial distress – not full end-to-end development finance, but targeted solutions where traditional funding has lapsed or become unavailable.
We assist with incomplete builds, builder insolvency, expired loan terms, and other time-sensitive challenges. By working closely with brokers, developers, and advisers, we help stabilise projects, restore momentum, and provide a clear path forward.
Our Lending Solutions for Distressed Construction
Key Benefits
Targeted Funding When Traditional Lenders Exit
We provide fast, pragmatic finance solutions when mainstream lenders withdraw or decline to extend terms—ensuring your client isn’t left without options mid-project.
Preserve Project Value and Avoid Delays
Our short-term funding helps maintain project momentum during builder insolvency, loan expiry, or cost overruns—minimising delays, protecting asset value, and supporting a structured path to completion.
Flexible Solutions for Complex Scenarios
Distressed projects are rarely straightforward. We assess each situation on its merits and offer flexible, case-by-case funding structures tailored to your client’s immediate needs and exit strategy.
Recent Success Stories
| Loan: | $7,000,000 |
| LVR: | 75% (with 100% debt coverage in pre-sales) |
| Security: | Property |
| Term: | 6 Months |
| Settlement time: | 6 Days |
| Exit Strategy: | Sale proceeds and refinance |
Situation
A borrower required funding to complete a 20-townhouse development after cashflow issues delayed progress, and traditional lenders couldn’t meet the timeline.
Solution
NWC Finance paid out the existing lender and provided progress drawdowns to complete the project within 6 days of application.
Outcome
The project was completed, occupancy certificates were issued, and the borrower repaid the facility through presales and a residual stock facility.
| Loan: | $200,000 |
| LVR: | 65% |
| Security: | Property |
| Term: | 3 Months |
| Settlement time: | 5 Days |
| Exit Strategy: | Sell-down strategy |
Situation
NWC Finance assisted a Victoria-based property developer with a cash-out solution to finalise a key phase of a larger development project.
Solution
NWC Finance delivered a tailored cash-out solution that allowed the client to unlock capital tied up in existing assets. This strategic funding enabled the timely completion of a critical phase in their development project, ensuring uninterrupted operations, maintaining project momentum, and positioning the client for continued progress toward full completion.
Outcome
To support the client’s goals, NWC Finance facilitated the release of equity from an industrial property, providing crucial funding to complete a time-sensitive phase of the project.
| Loan: | $300,000 |
| LVR: | 65% |
| Security: | Property |
| Term: | 5 Months |
| Settlement time: | 5 Days |
| Exit Strategy: | Sale proceeds and refinance |
Situation
A property developer in Western Australia faced unexpected cashflow shortfalls that threatened the completion of a small residential project. Progress had stalled, and traditional lenders were unable to provide funding quickly enough to meet the project’s urgent timelines. The developer needed a fast, flexible solution to ensure construction could continue without further delays, protect the project’s value, and maintain commitments to buyers.
Solution
NWC Finance acted quickly, understanding the critical nature of the situation. The team approved the $300,000 facility and settled within just 5 days. The funds were structured to cover outstanding construction costs, including progress drawdowns, ensuring the project could continue uninterrupted. NWC’s handson approach and streamlined process provided the developer with certainty and peace of mind during a challenging period.
Outcome
The project was successfully completed on schedule, with all compliance and occupancy certificates issued promptly. The developer was able to repay the facility through presales and subsequent refinancing. This seamless funding experience enabled the client to preserve the project’s value, satisfy buyers, and maintain strong confidence in future developments.
| Loan: | $600,000 |
| LVR: | 75% |
| Security: | Property |
| Term: | 6 Months |
| Settlement time: | 6 Days |
| Exit Strategy: | Sale proceeds and refinance |
| $600k to Complete Construction – Victoria | |
| Client: | Property Developer |
Situation
A property developer in Victoria encountered unexpected cashflow issues that stalled the construction of a residential townhouse project. Traditional lenders were unable to respond quickly, placing the project timeline and presales at risk. The developer required a rapid and reliable funding solution to continue construction and protect the project’s value.
Solution
NWC Finance provided a tailored solution, approving and settling the $600,000 loan within just 6 days. The facility was structured to fund outstanding construction costs and progress drawdowns, ensuring the developer could resume work without delay. NWC’s efficient process and flexible approach gave the client certainty and confidence during a critical stage of the project.
Outcome
The development was completed on schedule, with all compliance and occupancy certificates issued. The developer successfully repaid the facility through presales and refinancing, safeguarding the project’s financial performance and reputation.
How to Get Started
Identify Your Client’s Needs
Explore our range of lending options, and select the loan that suits your clients needs and/or requirements.
Contact Our Team
Connect with one of our experienced finance professionals who will assess your loan request and guide you through the next steps.
Call us today on:
AU and NZ +61 1300 560 187
Prefer to Apply Online?
Complete our online enquiry form, and one of our team members will review your submission and get in touch to discuss your commercial lending options.
Adviser Resources
Looking for resources to help your client? Access our information flyer and comprehensive company overview booklet which includes settled deals.
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Company Overview Booklet
Providing tailored lending solutions since 2004, NWC Finance specialises in flexible funding solutions for companies and corporate entities across Australia and New Zealand. With expertise in property and asset-backed lending, we provide access to immediate financial solutions when needed, including the ability to cross-collateralise multiple assets to maximise available equity and create efficient funding structures.
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