Mike Bayley

 

PHOTO: SUPPLIED Bayley Corporation managing director Mike Bayley says there is limited finance available from banks for developers.

Two leading Kiwi real estate and investment firms are joining forces with an Australian company to offer loans for commercial property developments as New Zealand banks pull back on this type of lending.

Real estate leader Bayley Corporation and investment advisor Forsyth Barr are combining with specialist Australian real estate financier MaxCap Group to provide loans for commercial property development of $3 million-plus.

They are stepping into a breach they see left by the banks whose reluctance to fund as much commercial property development is being in part driven by pending requirements from the Reserve Bank for New Zealand retail banks to hold more capital to reduce the banks’ chances of failing.

MaxCap NZ has opened an office in Auckland with Bayleys and Forsyth Barr between them owning 50 per cent of MaxCap NZ.

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