Rising rates make deal structuring critical, says Chifley MD
Higher interest rates and tighter credit are driving more complex funding needs for property investors and developers, opening the door for specialist commercial brokers.
Chifley Securities, previously a private lender in the property sector, has formally pivoted into a commercial finance brokerage as servicing tests and lender scrutiny increase.
Established in 2014, Chifley built its brand around arranging sophisticated property finance for large and complex transactions.
The firm now argues it can deliver better value by stepping away from a single balance‑sheet product and accessing a broad panel of banks, non‑bank lenders and private capital. Its panel spans the major banks, Macquarie, Judo Bank, BOQ, Suncorp, La Trobe Financial, and more than 30 private providers.
The pivot also comes as more borrowers turn to brokers, with MFAA data showing brokers now settle around three‑quarters of all new home loans and an increasing share of commercial and business finance.
New managing director Caterina Martinis (pictured) said the shift reflects the pressures facing developers in the current mortgage rate cycle.
“Developers are facing rising construction costs, tighter credit conditions, especially after the latest rise in interest rates, and increasingly compressed project margins,” Martinis said.
This backdrop is changing how deals need to be put together.
Structuring becomes a key edge for Chifley
Martinis, who brings 15 years’ leadership experience from roles at SAI Global Risk Management, Westpac, and Amazon Web Services, is assembling a senior broking team with deep credit backgrounds.
The broader Chifley team has more than 100 years’ combined finance experience, including senior lenders and private capital specialists who have overseen billions of dollars in commercial property transactions.
Martinis said the brokerage model allows Chifley to tailor funding structures rather than push a single product.
“As a brokerage, Chifley Securities can now access and compare funding solutions across a broad panel of banks, non-bank lenders and private capital providers,” she said. “This allows us to structure the most suitable facility for each client rather than fitting them into one lending model.”
In an environment where borrowing capacity is under pressure and lenders are re‑testing serviceability, Martinis argues that deal structure is now as important as headline mortgage rates.
She said higher rates are tightening developer and builder serviceability and lifting the bar on lender credit assessments, making it critical to present transactions that align closely with individual credit policies from the outset.
“Chifley submits a transaction that is well-structured and aligned with their credit requirements — rather than a typical broker submission based on assumptions about what a lender might need,” Martinis said.
Private capital steps up as banks tighten
Martinis said the current rate cycle is reshaping who funds commercial property and development projects.
“Traditional banks are becoming more conservative during the current rising rate cycle, and as a result, private lenders are playing an increasingly important role in commercial property finance alongside the big four,” she said.
Martinis added that borrowers are taking a more considered approach to debt, seeking guidance on loan structures, repayment capacity, and risk buffers.
Chifley expects to settle more than $1 billion in facilities over the next year, with a medium‑term goal of exceeding $5 billion annually. The firm reports that commercial property and development finance activity remains resilient despite higher mortgage rates, particularly where projects help deliver state and federal housing targets for investors and end‑buyers, including first‑home buyers.
