COMMERCIAL PROPERTY FINANCE
We offer a variety of financial products and lending solutions
that allow you to access loans and unlock equity. These financial
solutions are simple and effective and combine our experience,
expertise and relationships that we've built up over the years. We
have three bespoke products.
View or download a copy
of our finance brochure here.
As always our aim is to put you one step ahead of the rest:
Pre-Sale Facilitation
This is offered through the mechanism of a PUT option agreement.
This product is available to property developers wishing to meet
pre-sale requirements of their bank or financier. Alliance will
offer to secure the pre-sale requirements by offering you a bulk
pre-sale purchase over a portion of your units.
This product differs from a traditional pre-sale in that you
still have the power to sell any of the units included in the
agreement, to a 3rd party (at retail prices or for any price above
that included in the PUT agreement) during the course of the
development. Should there still be unsold units at the conclusion
of the development you can still elect to sell them. If there are
any units left over in the PUT agreement by the time the
development is complete, we will take transfer of them at the
predetermined price.
The major benefits to this product are that:
- You gain access to the development loan much quicker than you
would be able to, were you required to meet all pre-sales prior to
disbursement.
- Once the development is underway, it becomes far easier for
you to generate sales.
- You have a guaranteed exit for certain units which limits the
downside risk, offering you peace-of-mind
Finance Underpin
If you own commercial property and plan to sell, we provide
financial guarantees before the auction. You can take your property
to an auction sale with either a financial underpin or irrevocable
financial guarantee that we will achieve an agreed minimum sales
price.
If the agreed sales price is not reached you can cash in the
guarantee. If a higher price than the agreed minimum is achieved,
we will share the profits with you, the seller. You thus reap the
benefits of selling at auction while gaining financial security
that your property will achieve a specific price. This product,
when combined with a short-term asset-based loan, effectively
allows you to realise cash from your property investment in a
matter of days, thereby short-circuiting the lengthy sale, approval
and transfer process traditionally associated with such sales.
Upfront advance / voorskot
We offer loans secured by a covering mortgage bond, subject to a
mandate to sell the property if the loan has not been settled in a
defined period of time.
If you wish to sell a property, you can get a loan from us,
should you wish to wait until the market is more stable or buoyant
to sell your property (for a maximum period of 18 months).
- This allows you the option of marketing and selling the
property using your own methods and means. Should you be unable to
sell the property or repay the loan by the predetermined date, we
will assist in monetising the asset.
- We can underwrite your property to your financier, thereby
allowing you time to repay the loan
Broker Participation Programme
Our Broker Participation programme is a new and innovative way
for property brokers and estate agents to work with us to earn
commissions on successfully concluded property deals.
This is just another way we are trying to help brokers stay
ahead of the game.
To find out more about this programme download our Information Guide or register as a broker
today.
Proxy Bidding
We highly recommend that you make every effort to attend the
auction sale or get a representative to do so. However, if you are
truly unable to attend the auctions but still wish to submit a bid,
you may register by means of a Proxy Bid.
This is a form that is to be completed by you and sent to our
offices, together with a certified copy of your identity document,
as well as payment of your Auctioneer's Deposit into our Trust
Account. This is a security precaution, and the amount is fully
refundable on an unsuccessful bid.
Download a copy of this form here or speak
to any one in our Commercial Property Team for more
information.
DEPOSIT ADVANTAGE AND COMMISSION
GUARANTEE
The commission guarantee
The Commission Guarantee is exclusive to clients of Auction
Alliance. It allows buyers the option of postponing the payment of
the auctioneers' commission by up to 3 months, or on registration
of transfer, whichever is sooner. Upon this date the buyer is
required to pay the auctioneer's commission to us. Commission
Guarantees are available for up to 3 months only.
The deposit guarantee
Deposit Guarantees replace the cash deposit that is normally
paid by the buyer to a seller to secure a property. It allows the
buyer the opportunity to pay the full amount of the purchase price
upon registration of transfer, instead of raising the cash deposit
upfront. Deposit Guarantees are available for periods of 3, 6, 12
and 24 month terms.
How does it work?
Guarantees are usually approved and issued within 24 hours of an
application and supporting documents, enabling the buyer to present
the deposit or commission guarantee at auction after the property
has been successfully knocked down to them.
Who offers the guarantees?
Deposit Advantage is a division of Lombard Insurance Company
Limited. Lombard Insurance Company Limited is a member of the
Hollard Group of Companies.
How to apply?
Buyers can apply for a deposit or a commission guarantee online
by clicking the link above, or by contacting the Deposit Advantage
Helpline on 0860 110 313.
To qualify, applicants will need to demonstrate that they will
have sufficient funds to complete the purchase by the transfer
date.
For more information about Deposit Advantage or to apply visit
www.depositadvantage.co.za
or call 0860 110 313.
Download the application
for here.
Valuations
When it comes to providing accurate property values, nothing can
compensate for market knowledge. And no-one knows the market
better than South Africa's leading auction business in both value
and volume - Auction Alliance. Equipped with an incomparable
real time sales database that is meticulously maintained by our
research team, our valuers are arguably in the best position to
advise current market trends and values. The strength of
market involvement is proven, and the power of quality information
is real. Together, these forces define Auction Alliance - a
market-savvy valuations leader that adds real value.
Senior valuers, Jan Oberholzer and Gavin Adie have over 25 years
combined experience and oversee a team of 10 valuers operational
across South Africa. Our team is registered with the SA
Council for Property Valuer Professionals and the South African
Institute of Valuers. This core team is supported by a
network of over 77 brokers spread across South Africa who have deal
making experience at the coal-face of the market. Our
valuations are compliant with International Valuation Standards,
and all pass through a rigorous internal quality control.
With offices throughout Southern Africa, Alliance is nationally
positioned to provide comprehensive valuations services that are
timely, precise, and cost effective. Clients receive valuable
information and advice that clarify decision making.
Experienced Alliance professionals place the needs of the client
first - a tradition that has established us as an international
standard of excellence.
We have in-depth experience of valuations for the following
purposes:
- Purchase and Sale
- Liquidations, Insolvencies & Corporate Recovery
- Deceased Estates
- Financial reporting
- Corporate Governance
- Credit Management
- Finance & Re-financing
Research
Alliance Research is a service that has evolved through the
integration of our valuation and auction activities. We aim
to provide the property industry with an insight into a market
often plagued by limited, poor and outdated property data.
With unique reporting technology at our disposal, Alliance Research
leverages off a sound online database system offering the
flexibility and features that will elevate both our clients and
team to best-of-breed players in the property industry.
Using online technology and mobile reporting, we add real value
by commoditising property auction data. Our valuers identify
property transactions, understand the specific circumstances
surrounding them and capture the pertinent data variables
associated with the transaction. The data is cleaned by our
research team and tailored to your needs, packaged in a variety of
mediums. Our asset information has national reach and
currently covers 21 distinct commercial asset types including
industrial (high-tech and high/low grade), offices (CBD and
non-CBD), retail units, shopping centres, blocks of flats,
hospitality properties and vacant land of various uses, among
others groupings.
We believe the market is calling for insightful leadership that
recognises the value of effective price discovery. We aim to
provide this through the distribution of property auction
information and the very latest data available on the property
market, by offering an innovative property advisory and reporting
service and taking property risk assessment to the next level for
both industry participants and market players. Whether you
are selling, buying, financing or valuing, you need a firm
understanding of movements at the coalface of the market.
This is your opportunity to "read the game" and, through being an
informed player and industry professional, become "ahead of the
game".
The prices of properties sold at auction may give us greater
insight into the level of prices required to sell commercial
property on the market today. After all, auction activity is
perhaps the only area of the property market that has increased
over the past year. Traditional valuers and property
economists use historic data and, in a market that is changing
quickly, auction data is immediately accessible. One key
advantage of analysing auctions to arrive at a market valuation
price is their timeliness. Auction prices provide a useful
guide on where the true market values may lie and Alliance Group
will now provide regular, accurate and innovative sales and auction
activity reporting to facilitate decision making.
Charity & Entertainment Auctions
Entertainment and charity auction events, also known as
'auctiontainment', are an increasingly popular method of
raising funds for a charitable cause, drawing attention to a newly
launched product or adding an aspect of entertainment to a
'celebrity' function.
We recognise the role of charity and giving back. That's why we
continue to offer free benefit auction service to worthy causes. We
use the magic of an auction to help organization such as yours
raise much needed funds. We assist dozens of organisations each
year with their fundraising auctions - with bids running into
several millions.
Why use a professional event auctioneer?
The objective of holding an auction is to raise as much money as
possible. Only a professional auctioneer has the experience and
ability to whip an audience into a bidding frenzy. Additionally,
auctions at events or functions also need to be highly
entertaining. The professional auctioneers from the Alliance Group,
South Africa's largest auction company, will not only ensure that
the highest prices are achieved but they will also entertain.
Our various auctioneers have raised tens of millions of Rands
conducting some of this country's most high profile and important
charity auctions. These auctions are a phenomenal source of income
for cash-strapped welfare organisations. This service is provided
gratis as a philanthropic gesture.
Although these auctions are often star-studded, fun events, we
are always aware of our social responsibility to the South African
community.
The following are a few of the charity auctions that we
have conducted:
- FIFA official affiliates gala dinner
- Epilepsy SA
- Desmond Tutu's HIV Foundation
- Stars of Tomorrow
- Zaneli Mbeki and IWFSA
- Anneline Kriel and Homestead
- Reach for Dream
- City Hall and Rotaty SA
- ANC Fundraising Initiatives
- Trevor Manuel's "After-Budget Party"
- Whitie Basson (Shoprite) - Supplier of the Year Award
Fundrasier
- 46664 Mandela Aids Fund
- Home of Hope
- Sunflower Fund
- Ikamva Labanthu
- Burn Society
- Santam Art Auctions
- SPCA
For more information on this service, or to obtain a full list
of the organisations we have done business with, contact Ariella
Kuper at our offices.
