Wheels already in motion
I’m currently arranging $6 million in purchase funding for a new subdivision in Clyde, just outside Alexandra, in the heart of Central Otago. It’s early days, but the wheels are already in motion.
It’s a part of the country that’s growing steadily in demand, with strong lifestyle appeal and market interest.
For the right team, it’s a smart place to build.
That’s exactly what this joint venture intends to do.
The vision is clear:
– Acquire the full farm
– Subdivide it into 31 residential lots
– Roll out a structured sales programme to bring the project to market
The projected return? Around 50%.
As always, the return only comes if the structure is sound and the funding is locked in at the right time.
A long-time real estate contact in Christchurch, someone I’ve known for over 35 years, made the introduction.
From that moment, we moved fast.
✓ We secured deposit funding to get the farm under contract
✓ We built a tailored sales strategy alongside trusted local agencies
✓ We’ve managed the full resource consent application through CODC, including dealing with key planning overlays
Consent is now pending, expected any day now. Once granted, we’ll introduce an equity partner to fund the subdivision works and keep momentum rolling.
There’s one piece I’m particularly proud of in this deal.
We negotiated a clause that isn’t common in this kind of transaction
– If resource consent isn’t granted, the full deposit is refundable.
That’s a big deal.
It gives the joint venture partners the confidence to commit without taking on unnecessary risk and it’s a testament to the strength of the relationships involved, including the vendor, the project manager, and our wider advisory team.
Without this structure in place, the opportunity could have slipped away.
We’d be looking at a missed $5 million profit window and a site lost to someone else.
Instead, the team is in a strong position. The strategy is tight and the foundation is there to move from planning to progress.
I will share more as the project evolves.
