Non-bank lenders typically focus on 3 areas in every transaction:
- Quality of the property project and the loan to property value ratio (LVR)
- The sponsor behind the project, their experience in delivering similar projects and their financial position
- Exit strategy and achievability of the exit over the term of the loan
The evaluation doesn’t end once a loan is settled. Constant monitoring is necessary to ensure the credit is proactively managed and any issue that may impact on the exit is identified early and proactively managed with the borrower and other stakeholders.
To learn more about Gemi and our approach click here