We help shape financing structures that
reduce funding costs and minimise risk

RLA delivers a variety of financial advisory services. We work with clients to explore all viable options to ensure each is tailored-made - specifically benefiting the life-cycle stage of the project and the client’s and project’s unique requirements. Our objective is always to develop the optimal structure between debt and equity and the available funding sources to provide solutions at the lowest total cost and the best possible terms.

Project finance is an off-balance sheet funding solution that allows the sponsor to extend their debt capacity by evaluating and ascertaining the financial viability of the project and its propensity to service debt in advance. Project finance also allows the sponsors to share the project risks with other stakeholders. The basic structure demands that the sponsors spread the project risks through security arrangements, contractual agreements, and other supplemental credit support structures.

The RLA Difference

RLA works with the project sponsor as their advisor. This typically involves presenting them with several possible funding structures and developing a solution that matches their appetite for risk and the funding they have available for the project. Despite all the advantages of project finance, it is quite complex and project finance structures can be costly to assemble. RLA helps project sponsors navigate their way through the complexity of project finance transactions by setting clear milestones with timelines, developing detailed financial models with several funding options, structuring a set of contracts that must be negotiated with all of the parties to the project and managing the legal, tax and contractual issues associated with the project financing, as well as the various service providers. 

 

RLA Project Financing at a Glance

Feasibility

The feasibility study is the starting point of any project finance engagement and is necessary to prove the financial viability of the project.  

RLA specialise in delivering commercially robust, astute and creative asset development planning. We help our clients exploit even the most challenging market dynamics. Our comprehensive viability services are based on the best financial practice and cutting-edge asset planning methodologies, to deliver measurable, business impact.

  • Supply and demand analysis
  • Financial forecasts
  • Market segmentation review
  • Revenue and distribution strategy recommendations
  • Identification of best business/potential scenarios
  • Sensitivity analysis
  • Risk assessment, SWOT analysis
  • Conceptualization
  • Definition of best and most suitable concept for the development

Return on investment analysis

Bringing to bear decades of expertise upon diverse real estate assets including hotels, resorts, residential, standalone wellbeing destinations, mixed-use developments and medical facilities our team delivers highly specified, relevant approaches, activities and services that identify best ROI options, and incrementally generate value over the lifecycle of the asset.  As part of our financial modelling, we calculate key financing indicators, such as the IRR and the Debt Coverage ratios under different possible funding structures.

  • Profit and Loss Forecast
  • Return on investment analysis
  • Business plan
  • Total estimated investment
  • Financing requirements
  • Appraisal and valuation indication
  • Investment scenarios

Financial Requirements & Capital Raising

RLA works with the project sponsors to determine the financing requirements of their projects, based on different funding structures.  Furthermore, we can then assist with raising both equity and debt for projects it works on, including negotiating with investors and lenders to bring the financing of projects to a close.  We work with clients to explore all viable investment sourcing options to ensure each is tailored-made to benefit the stage of the life-cycle that the project is in as well as the client’s and project’s unique requirements.

  • Financing scenarios development
  • Identification of suitable partners, investors and lenders
  • Securing financing solutions and financial restructuring
  • Assisting in preparation of documentation
  • Assisting with negotiations

Appraisal & Valuation

RLA supports the valuation process by providing specialized industry insights to the various valuation approaches particularly in the hotel industry which includes income capitalization, sales comparison and cost approach. 

  • Asset valuation and appraisal
  • Due Diligence
  • Transaction management
  • Capital raising

Preparation of Investment

The Investment Memorandums developed by RLA are based on the information gathered and provided in the preceding feasibility studies, financial models and business plans. They’re developed with the aim of enticing lenders and investors while accurately communicating the project’s key technical, commercial and financial characteristics.

Project Portfolio