At FerrierSilvia we understand the challenges of the property industry. Fluctuating asset values, limited funding options, challenges with working capital, rising costs, and intense competition make for a unique and complex industry.
Our property experience is extensive. We work with a variety of stakeholders including financiers, investors, developers, and builders to develop tailored, commercial, and equitable solutions to their financial challenges.
Our team of dedicated property professionals have an extensive network of town planners, architects, engineers, builders, developers, project managers, and agents. We regularly draw on our network to help deliver the best possible outcomes for our clients.
Three Real Estate Assets
Brian Silvia was appointed as agent for the mortgagee in possession to three real estate assets in northern New South Wales. The assets included an abandoned hotel, a 20-percent-completed multi-store residential development and a number of units in a residential complex. We were instructed to take control of and work out these assets to extract their highest possible value in the short to medium term. We sold the hotel, having re-activated an existing development application (DA) improved the sale valuation, and amended the existing DA to reduce construction costs. We also undertook significant rectification works, which enabled the units to be sold above valuation.
Property Finance Group
The Board of one of New Zealand’s largest property finance groups appointed Brian Silvia to prepare a special forensic report. This was in response to an investigation initiated by the New Zealand Securities Commission regarding alleged representations and disclosures made by the Board to its investors. Following our investigation, the Commission decided not to proceed with criminal proceedings against the directors.
$75 Million Debenture fund
Brian Silvia was appointed as receiver and manager of a debenture fund with assets totalling $75 million. Of those assets, $13 million were owed to an external financier. The fund’s trustee instructed us to take control of and work out all assets under management to ensure maximum value in the medium term. The property loan portfolio included four retirement villages, which when ‘reworked’ were sold for exceptional prices.
Brian Silvia was appointed as receiver and manager for Soho Rockdale, a mixed-use development of 103 apartments and retail shops at Rockdale NSW. Due to a dispute with the joint venture parties and with construction only 65 per cent complete, the builder ceased work. The project was at risk of compromising $25 million in presales. By negotiating with the mezzanine financier to compromise debt, Brian Silvia facilitated the project out of receivership. The financier was subsequently repaid in full, including penalty interest and fees.