THE NINTH CLOSES IN ON 'TEE TIME'
Construction on $30m village starts soon after COVID delays
CONSTRUCTION work on The Ninth Middle Ridge will likely start within weeks, after the developer revealed the COVID-19 pandemic had delayed the project by several months.
The $30 million retirement village, which is to be built on land at the Toowoomba Golf Club, will include 85 two, three and four-bedroom units designed for retirees and older residents.
Aura Holdings said the recent economic downturn had been a barrier towards starting construction, but director Tim Russell said it had nearly finalised finance arrangements with a lender to kick off work.
McNab Construction has cleared the site of existing structures.
THE developer behind a $30 million retirement village at the Toowoomba Golf Club has declared it is ready to start construction soon, after COVID-19 delayed the project.
Aura Holdings has revealed it is close to finalising the necessary finance for the Ninth Middle Ridge, an 85unit independent living development with views over the golf course.
McNab Construction had already cleared the land off Rowbotham St, with construction supposed to have started already.
But Aura director Tim Russell said the onset of the COVID-19 pandemic had forced the company to act more cautiously and push back the completion date.
“Our equity provider SE Capital provides all the early cash, and takes the usual development risks (at the start),” he said.
“Then, in the past once we’ve hit a pre-sale mark, we’re happy to move forward with the funding and construction.
“We’re taking a more prudent approach now, primarily because the banking world has changed (due to COVID-19) and banks are looking to preserve capital.”
SE Capital put up $10 million to get the project through the early stages, including ground clearing works.
Mr Russell said Aura was in advanced negotiations with a lender to secure the remaining finance and finish the retirement village.
“We have more than one banking institution interested, we’re in advanced negotiations with one, and we’re hoping to finalise it by the end of this month,” he said.
Mr Russell said he expected developers to become more cautious during the current economic climate.