Property development finance in New Zealand refers to the financial support provided to individuals or companies involved in property development projects. This type of financing is specifically tailored to the needs of property developers and is designed to help them cover the costs associated with acquiring land, construction, and other development expenses.

Property development finance typically includes various types of loans and funding options, such as:

1) Land Acquisition Loans: These loans are used to purchase land for development purposes.

2) Development Loans: These loans are used to cover the costs of construction, including materials, labour, and other expenses related to developing the property.

3) Mezzanine Finance: This type of financing sits between equity and debt financing and is often used to bridge the gap between the developer's equity and the senior debt provided by traditional lenders.

4) Joint Venture Financing: In some cases, developers may enter into joint ventures with investors or other developers to finance a project. Each party contributes capital and shares in the risks and rewards of the development.

5) Equity Financing: Developers may also raise capital by selling equity in the project to investors in exchange for a share of the ownership and potential profits.

Property development finance in New Zealand is typically provided by banks, financial institutions, private lenders, and sometimes government-backed entities. The terms and conditions of these financing arrangements can vary depending on factors such as the size and scope of the project, the developer's track record, and the current state of the property market.

Disclaimer:
We have taken care to ensure that the information given is accurate, however it is intended for general guidance only and it should not be relied upon in individual cases. Professional advice should always be sought before any decision or action is taken.