Building Upgrade Finance is a unique finance product designed to assist building owners with environmental upgrades to non-residential buildings or restoration and upgrades to heritage buildings.
Building Upgrade Finance has been enabled in New South Wales and South Australia, as well as in Victoria (better known as Environmental Upgrade Finance).
Under Building Upgrade Finance, an agreement between the building owner, finance provider and local council is entered into, where a:
– building owner seeks finance for a building upgrade
– finance provider lends finance to the building owner
– council collects repayments from the building owner and transfers them to the finance provider.
The finance structure, including local councils, provides finance providers with additional security that enables unique product benefits.