Townhouse Development Finance
Finance townhouse developments from 3 to 10 units with tailored construction facilities. A growing product class that sits between small-scale duplex builds and larger apartment developments.
Key Features
Mid-Density Projects
Specialist funding for 3-10 unit townhouse developments
Scalable Finance
Facilities that grow with your development pipeline
Progressive Drawdowns
Staged funding aligned to construction milestones
Flexible Terms
12-24 month construction terms with extension options
Recently Funded Deals
See what's possible with the right finance solution
*Based on real deals settled by Andorra Private. Details may be generalised for confidentiality.
Unregistered MIS — Industrial Warehouse Portfolio
The Scenario
A property syndicate structured as an unregistered managed investment scheme sought finance to acquire a portfolio of large industrial warehouses in regional Victoria.
The Challenge
The syndicate required non-recourse lending with no directors guarantees — a structure many lenders are unfamiliar with. Loan documentation needed to reflect the MIS trust structure correctly, requiring coordination between the client, their solicitor, and the bank's solicitor.
The Solution
We identified a major bank willing to provide a lease-doc facility on a non-recourse basis. We then worked closely with all parties — the client, their legal counsel, and the bank's solicitors — to ensure the loan contracts correctly reflected the trust structure and that no personal guarantees were required.
The Outcome
The facility was successfully arranged with a major bank. The syndicate acquired the warehouse portfolio with no directors guarantees, and all loan documentation was executed correctly on the first pass.
Non-Recourse
Structure
None
Guarantees
Lease-Doc
Facility Type
Major Bank
Lender
Client Testimonials
Hear from our satisfied clients
“Nick as a broker is part of my dream team for not only residential but especially commercial lending and has been nothing short of brilliant! Always calm under pressure and gets the job done. Very proactive and knowledge far superior to other brokers I've worked with. He's also got another option up his sleeve to ensure you achieve your goals. Absolutely no hesitation in recommending Nick for all things finance. Do yourself a favour and have a preliminary chat with Nick.”
Rachael
Commercial Lending
“Nick is an absolute gun at his job. I've been through many brokers over the years, and he is by far the best I've worked with. His knowledge in the commercial space is second to none, and the way he handles the process is completely seamless.”
P
Commercial Finance
“Nick is super professional and highly competent in his craft. He guided me with credible lending options and advice during my commercial property purchase journey. Highly recommended.”
ADS Rawal
Commercial Property
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Start ApplicationThe Townhouse Development Sweet Spot
Townhouse developments of 3 to 10 units represent a middle ground in the property development spectrum. Large enough to generate meaningful returns but contained enough to manage construction risk, townhouses are increasingly favoured by councils, buyers, and lenders alike.
Lenders appreciate the diversified exit — multiple presales reduce concentration risk compared to fewer high-value apartments. Buyers value the space, privacy, and lower strata costs. And developers benefit from simpler construction methodologies compared to apartment buildings with lifts, basements, and complex services.
Funding Options for Townhouse Developers
Townhouse projects can be financed through major banks, non-bank lenders, or private credit funds. Bank finance offers the lowest rates (5-7.5% p.a.) but requires strong presales and developer experience. Non-bank lenders provide more flexibility on presales and experience at rates of 8-12% p.a. Private lenders fill the gap for projects that need speed or cannot meet institutional criteria.
We assess your project and recommend the optimal funding structure. For developers with a growing track record, we help build banking relationships that deliver better terms on each successive project.
Discuss Your Townhouse Development Finance Needs
Our team specializes in finding the right lending solution for your unique situation. Get expert advice today.
Frequently Asked Questions
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