Work Out The Cost Of Senior Debt, Mezzanine And Equity With Our Development Calculator

Appraise your project with our development finance calculator. Enter your GDV, project costs and developer equity to get started.

HOW IT WORKS

Our property development finance calculator can be used to work out how much you need to borrow, what it will cost, and what your profit will be. Here’s how to use it:

1. Enter project information
   Enter your GDV, project costs and developer equity to find out how much senior debt you need to borrow
2. Funding costs
   The calculator will tell you what you will be charged in fees and interest for the senior debt. If senior debt at 65% LTGDV is not enough to cover your funding gap, the calculator will also tell you how much mezzanine debt or investor equity you need
3. Pre-finance profit
   The calculator will calculate your profit, before finance costs have been deducted
4. Post-finance profit
   The calculator will deduct finance costs (and the return due to any equity investors) to show your take-home profit

Tip: If your funding gap is covered by senior debt, try decreasing your developer equity. This will show you how using mezzanine debt or investor equity will impact your profit. If this impact is acceptable, consider decreasing the amount of developer equity you’re putting into this deal and putting your remaining equity into another deal to maximise profits.

Mackenzie Byrne is a development finance brokerage. We source debt and equity for SME residential developers undertaking ground-up projects. Click here to see some projects we’ve sourced funding for.

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