Project-based funding - Revision history

Designing Buildings at 06:54, 25 November 2020

2020-11-25T06:54:34Z

← Older revision		Revision as of 06:54, 25 November 2020
Line 38:		Line 38:
	* Types of development.		* Types of development.

−	[[Category:Articles_needing_more_work]] [[Category:Appointments]] [[Category:Cost_/_business_planning]] [[Category:Property_development]]	+	[[Category:Articles_needing_more_work]] [[Category:DCN_Definition]] [[Category:DCN_Guidance]] [[Category:Appointments]] [[Category:Cost_/_business_planning]] [[Category:Property_development]]

Designing Buildings at 09:43, 4 August 2020

2020-08-04T09:43:52Z

← Older revision		Revision as of 09:43, 4 August 2020
Line 36:		Line 36:
	* Shared ownership.		* Shared ownership.
	* Speculative construction.		* Speculative construction.
		+	* Types of development.

	[[Category:Articles_needing_more_work]] [[Category:Appointments]] [[Category:Cost_/_business_planning]] [[Category:Property_development]]		[[Category:Articles_needing_more_work]] [[Category:Appointments]] [[Category:Cost_/_business_planning]] [[Category:Property_development]]

Editor at 16:02, 6 November 2018

2018-11-06T16:02:16Z

← Older revision		Revision as of 16:02, 6 November 2018
Line 3:		Line 3:
	Project-based funding can allow them to borrow money on the strength of the development. Larger or better-established companies may be able to borrow on the strength of their market position rather than the security offered by individual projects.		Project-based funding can allow them to borrow money on the strength of the development. Larger or better-established companies may be able to borrow on the strength of their market position rather than the security offered by individual projects.

−	Project-based funding may also used as a way of financing large, infrastructure and industrial projects, based on the projected cash flow of the finished project. In this case, finance structures may involve a syndicate of banks and/or equity investors who provide the project with loans. In the UK this sort of project-based funding has been carried out under the private finance initiative (PFI) and public private partnership (PPP) systems.	+	Project-based funding may also used as a way of financing large, infrastructure and industrial projects, based on the projected cash flow of the finished project. In this case, finance structures may involve a syndicate of banks and/or equity investors who provide the project with loans. In the UK, this sort of project-based funding has been carried out under the private finance initiative (PFI) and public private partnership (PPP) systems.

	The relationships on large projects can become very complicated, with a range of organisations with different interests to protect. Some of the key parties to project finance may include:		The relationships on large projects can become very complicated, with a range of organisations with different interests to protect. Some of the key parties to project finance may include:
Line 19:		Line 19:
	* Insurers: In the event of an insurable event, sponsors and lenders look to insurers to cover the losses.		* Insurers: In the event of an insurable event, sponsors and lenders look to insurers to cover the losses.

−	~~= Find out more =~~	+	= Related articles on Designing Buildings Wiki =
−		+
−	=== Related articles on Designing Buildings Wiki ===	+

	* Bridging loan for property.		* Bridging loan for property.
Line 33:		Line 31:
	* Off-plan property.		* Off-plan property.
	* Private Finance Initiative.		* Private Finance Initiative.
		+	* Private sector.
	* Property development finance.		* Property development finance.
	* Shared equity / Partnership mortgage.		* Shared equity / Partnership mortgage.

Editor at 15:44, 28 March 2018

2018-03-28T15:44:41Z

← Older revision		Revision as of 15:44, 28 March 2018
Line 31:		Line 31:
	* Funding prospectus.		* Funding prospectus.
	* Mezzanine finance.		* Mezzanine finance.
		+	* Off-plan property.
	* Private Finance Initiative.		* Private Finance Initiative.
	* Property development finance.		* Property development finance.

Editor at 12:08, 16 March 2018

2018-03-16T12:08:40Z

← Older revision		Revision as of 12:08, 16 March 2018
Line 24:		Line 24:

	* Bridging loan for property.		* Bridging loan for property.
		+	* Buyer-funded development.
	* Construction loan.		* Construction loan.
	* Construction project funding.		* Construction project funding.

Editor at 13:30, 26 February 2018

2018-02-26T13:30:51Z

← Older revision		Revision as of 13:30, 26 February 2018
Line 25:		Line 25:
	* Bridging loan for property.		* Bridging loan for property.
	* Construction loan.		* Construction loan.
		+	* Construction project funding.
	* Equity and loan capital.		* Equity and loan capital.
	* Funding options.		* Funding options.

Editor at 12:41, 26 April 2017

2017-04-26T12:41:47Z

← Older revision		Revision as of 12:41, 26 April 2017
Line 1:		Line 1:
−	Project-based funding (sometimes referred to as project-based finance or project-based lending PBL), is a system of financing a project in which the financial security is provided by the property being acquired or developed itself. This can be an important source of funding for smaller development companies who may not have much security to offer. Project-based funding can allow them to borrow money on the strength of the development. Larger or better-established companies may be able to borrow on the strength of their market position rather than the security offered by individual projects.	+	Project-based funding (sometimes referred to as project-based finance or project-based lending PBL), is a system of financing a project in which the financial security is provided by the property being acquired or developed itself. This can be an important source of funding for smaller development companies who may not have much security to offer.
		+
		+	Project-based funding can allow them to borrow money on the strength of the development. Larger or better-established companies may be able to borrow on the strength of their market position rather than the security offered by individual projects.

	Project-based funding may also used as a way of financing large, infrastructure and industrial projects, based on the projected cash flow of the finished project. In this case, finance structures may involve a syndicate of banks and/or equity investors who provide the project with loans. In the UK this sort of project-based funding has been carried out under the private finance initiative (PFI) and public private partnership (PPP) systems.		Project-based funding may also used as a way of financing large, infrastructure and industrial projects, based on the projected cash flow of the finished project. In this case, finance structures may involve a syndicate of banks and/or equity investors who provide the project with loans. In the UK this sort of project-based funding has been carried out under the private finance initiative (PFI) and public private partnership (PPP) systems.
Line 26:		Line 28:
	* Funding options.		* Funding options.
	* Funding prospectus.		* Funding prospectus.
		+	* Mezzanine finance.
	* Private Finance Initiative.		* Private Finance Initiative.
	* Property development finance.		* Property development finance.

Designing Buildings at 11:34, 3 April 2017

2017-04-03T11:34:56Z

← Older revision		Revision as of 11:34, 3 April 2017
Line 32:		Line 32:
	* Speculative construction.		* Speculative construction.

−	[[Category:Appointments]] [[Category:Cost_/_business_planning]] [[Category:Property_development]]	+	[[Category:Articles_needing_more_work]] [[Category:Appointments]] [[Category:Cost_/_business_planning]] [[Category:Property_development]]

Designing Buildings at 11:34, 3 April 2017

2017-04-03T11:34:45Z

← Older revision		Revision as of 11:34, 3 April 2017
Line 1:		Line 1:
−	Project-based funding~~, also known~~ as project finance, is a system of financing a project in which the financial security is provided by the property being acquired or developed itself. This can be an important source of funding for smaller development companies who may not have much security to offer. Project-based funding can allow them to borrow money on the strength of the development. Larger or better-established companies may be able to borrow on the strength of their market position rather than the security offered by individual projects.	+	Project-based funding (sometimes referred to as project-based finance or project-based lending PBL), is a system of financing a project in which the financial security is provided by the property being acquired or developed itself. This can be an important source of funding for smaller development companies who may not have much security to offer. Project-based funding can allow them to borrow money on the strength of the development. Larger or better-established companies may be able to borrow on the strength of their market position rather than the security offered by individual projects.

	Project-based funding may also used as a way of financing large, infrastructure and industrial projects, based on the projected cash flow of the finished project. In this case, finance structures may involve a syndicate of banks and/or equity investors who provide the project with loans. In the UK this sort of project-based funding has been carried out under the private finance initiative (PFI) and public private partnership (PPP) systems.		Project-based funding may also used as a way of financing large, infrastructure and industrial projects, based on the projected cash flow of the finished project. In this case, finance structures may involve a syndicate of banks and/or equity investors who provide the project with loans. In the UK this sort of project-based funding has been carried out under the private finance initiative (PFI) and public private partnership (PPP) systems.

Designing Buildings at 11:24, 3 April 2017

2017-04-03T11:24:33Z

← Older revision		Revision as of 11:24, 3 April 2017
Line 1:		Line 1:
−	Project-based funding, also known as project finance, is ~~where~~ financial security is provided by the property being acquired or developed. This ~~is often~~ important for smaller development companies who may not have much security to offer ~~except the development itself~~. ~~Therefore, they~~ can borrow money on the strength of the development.	+	Project-based funding, also known as project finance, is a system of financing a project in which the financial security is provided by the property being acquired or developed itself. This can be an important source of funding for smaller development companies who may not have much security to offer. Project-based funding can allow them to borrow money on the strength of the development. Larger or better-established companies may be able to borrow on the strength of their market position rather than the security offered by individual projects.

−	~~This is in contrast to a larger and better~~-~~established company who~~ may ~~be able to borrow~~ on the ~~strength~~ of ~~their market position rather than individual projects~~.	+	Project-based funding may also used as a way of financing large, infrastructure and industrial projects, based on the projected cash flow of the finished project. In this case, finance structures may involve a syndicate of banks and/or equity investors who provide the project with loans. In the UK this sort of project-based funding has been carried out under the private finance initiative (PFI) and public private partnership (PPP) systems.

−	~~Project-based funding is also used as a way of financing~~ large ~~infrastructure and industrial~~ projects ~~based on the projected cash flow~~ of ~~the finished project~~. ~~Finance structures often involve a syndicate~~ of ~~banks as well as a number of equity investors who provide~~ the project ~~with loans.~~	+	The relationships on large projects can become very complicated, with a range of organisations with different interests to protect. Some of the key parties to project finance may include:

−	Project financing in the UK has been carried out under private finance initiative (PFI) and public private partnerships (PPP). PFI was introduced as a means of using private sector skills and finance to provide public sector services.	+	* Private sector partner/owner: The company or limited partnership established to be at the centre of all contracts for the project.
−		+
−	~~Some of the key parties to project finance include the following:~~	+
−		+
−	* Private sector partner/owner: The company or limited partnership established to be at the centre of all contracts~~, and so on,~~ for the project.	+
	* Project sponsor: The party taking the active role of managing the project, who often has to cover certain project liabilities or risks.		* Project sponsor: The party taking the active role of managing the project, who often has to cover certain project liabilities or risks.
−	* Lenders: Parties such as commercial and investment banks who ~~provide the debt portion. Groups of lenders often~~ form a syndicate.	+	* Lenders: Parties such as commercial and investment banks who may form a syndicate.
−	* Agent: Appointed from one of the lenders ~~who acts~~ on behalf of the others.	+	* Agent: Appointed from one of the lenders to act on behalf of the others.
	* Account bank: Held by a single lender, all money generated by the project will pass through.		* Account bank: Held by a single lender, all money generated by the project will pass through.
	* Equity investors: Lenders or sponsors who do not have an active role in the project but are shareholders.		* Equity investors: Lenders or sponsors who do not have an active role in the project but are shareholders.
	* Suppliers, contractors, customers: Suppliers of materials, contractors involved in the building, and the customers of the project.		* Suppliers, contractors, customers: Suppliers of materials, contractors involved in the building, and the customers of the project.
	* Construction company: Manages the construction of the project.		* Construction company: Manages the construction of the project.
−	* Multilateral credit agencies: Ensure the bankability of a project by providing commercial banks with some protection against political risks.	+	* Multilateral credit agencies: Ensure the 'bankability' of a project by providing commercial banks with some protection against political risks.
−	* Host governments/awarding authorities: National ~~government~~ may be involved in issuing consents ~~and permits~~ for the project~~. Awarding authority enters into agreement with the project company.~~	+	* Host governments/awarding authorities: National governments may be involved in issuing consents for the project.
−	* Purchasers: Project company normally contracts in advance with a purchaser on infrastructure projects.	+	* Insurers: In the event of an insurable event, sponsors and lenders look to insurers to cover the losses.
−	* Insurers: In the event of ~~a negative~~ event, sponsors and lenders look to insurers to cover the losses.	+

	= Find out more =		= Find out more =