Select the loan solution you would like to apply for from the below list:


New Heights Finance specialises in securing the right finance package for your commercial property purchase, industrial property purchase, retail property purchase, office block purchase or block of flats property purchase.

Cost Schedule
  • Minimum Term – 60 months
  • Maximum Term – 120 months
  • Minimum APR –  10 %
  • Maximum APR – 15 %

Example :

  • Loan – R 1 million
  • Term – R 1 year
  • APR – 13 %
  • Repayment – R 1 130 000

Subject to lenders Terms and Conditions at time of quote.

Commercial Bond

100 % Ownership, full deposit (70% funding)

Bank Loan to value of 70 % secured and then you as the applicant put up 30 % of the funding (deposit).
You are then 100 % owner.

You lay out 30 % of the property purchase price.

You need not share the profits nor have partners.

Equity Funding

Buyers of medium to large sized commercial and industrial properties now have access to 100 % loans. Some funding models require equity sharing, some profit sharing.

100 % Ownership, with profit share but no deposit (100% funding)

Bank loan to value of 70 % secured and then we have our funders put up the 30 % deposit with the proviso that they keep 30 % of the profit generated within the first 3 years. You are the 100 % owner but you have to pay the mezzanine funders back their 30 % within 3 years plus 30 % of the property profits.

Advantage: You need only layout a minimal amount of own cash. Ideal if you are not very cash flush BUT identify a good opportunity.

Part  Ownership part deposit (100% funding)

Bank Loan of 70 % secured and our funders can put up all or a part of the 30 % required deposit. Disadvantage : The bridging company  will take equity in proportion to the amount they contribute to the deposit. You retain the balance of the equity.

Advantage: If you do not have the required deposit, the bridging funders will make up the shortfall. Ideal for tenants wanting to own their own premises and do not want to part with operating cash.


Commercial property finance is not easily secured unless you have all the required documentation and signed leases that are able to service the loan.

Important Considerations Before Applying
  • Tenant lease of 8 years and longer are ideal
  • Net Yield to be in the order of 10 %, calculated as net income ( gross income less expenses) divided by the asking price
  • Property must be in a good position and in good condition
  • Banks do not normally lend more than 70 %  but we can arrange 100 % loans ( see above)
  • Minimum transaction size is R 1 million
  • Interest rates are generally at prime
  • Valuation costs, admin costs, professional fees, legal fees are for the account of the applicant
  • Transfer costs and legal fees ( if non VAT entity) are in the order of 10 %, so you need to have this in cash
  • Industrial, Retail and Offices buildings are preferred properties to fund
  • Residential buildings normally require a 50 % deposit


This project finance is provided on a JV (Joint Venture) basis with you owning 70 % of the project and the lender / investor taking up 30 % of the shares.


  • If you have project of R 140 million or more
  • Have completed at least 3 projects
  • Own land that is rezoned and ready for development
  • Have done all the feasibilities & EIA’s studies
  • Have received the ROD (Record of Decision)
  • Have all the local authority permission to proceed
  • Have homes that are targeted to sell at between R 200 000 and R 480 000 and are ready to start the project but lack funding
Funding Structure

with JV Partner

  • Repay JV Partner’s Equity From First Free Cash
  • Repay Developer’s Equity
  • Repay JV Partner Required Returns ( 25% / 30%  IRR)
  • Repay Developer’s Required Returns ( 25% / 30% IRR)
  • Pay balance of cash to JV Partner and Developer in ratio of shareholding
Cost Schedule
  • Minimum Term – 3 months
  • Maximum Term – 12 months
  • Minimum APR – 13 %
  • Maximum APR – 30 %

Example :

  • Loan                         R 1 million
  • Term                        R 1 year
  • APR                           13 %
  • Repayment         R 1 130 000

Subject to lenders Terms and Conditions at time of quote.

How It Works

Ideal residential units are to be between R 280000 and R 480000 selling price.

Developer enters into a partnership with the JV Partner (JVP).

Development land transferred to a Special Purpose Vehicle (SPV) company.

JVP only holds 30 % shares and Developer 70 % Shares in SPV (even though the JVP will contribute a greater equity amount to the project).

The total project value cannot be less than R 140 million.

Banks will provide up to 70 % Debt finance to the project. (JPV does not sign any sureties for this loan but the developer will have to).

JVP and Developer to provide 30 % Equity combined. For this size project, a minimum of R 40.2 million, is required.

JVP will contribute up to 80 % of the 30 % Equity required eg  R 32.2 million.

The Developer to contribute 20 % (or more if they want to or can) of the 30 % Equity required
eg R 8 million.  This can be in the form of Land, Value Added or Cash.

First free cash is paid to settle JVP equity loan (Interest and Dividend), then Developers Equity loan is paid out.

Then JVP paid out Return of 25 % to 30 % IRR on equity portion invested.

Then Developer Return of 25 % to 30 % IRR paid out on equity portion invested.

Balance of cash (Profit) paid out to JVP and Developer in ratio of shareholding.

This scheme has been running in South Africa for a number of years and has proven to work successfully with experienced Developers.

This JV structure can also be applied to Blocks of Rental Flats that are for long term investment purposes and / or  for student accommodation.