Non-Bank Lenders in New Zealand : Our Top 5 Partners in 2024

18th Apr 2024 | Ben Pauley


Here at Lateral Partners we wanted to put together the list of what we considered the top 5 non-bank lenders we dealt with over the last financial year.

These partners enable us to help you realise your projects by offering lending criteria that differ from traditional banks. They are trusted partners who enable the property developers we work with to achieve their objectives.

This list isn’t compiled based on volume of lending but rather our honest appraisal of the best non-banks available to borrowers in New Zealand. With over 140 options on our list we had a few to choose from!

5 – Mutual Credit Finance (MCF)

At number 5 we have MCF are a small lender based in Christchurch who provide both bridging and development finance. MCF have been around the block a few times, established in 1956 they are one of the oldest lenders in New Zealand. MCF are a deposit taking entity taking on deposits from the public and lending that money out rather than funding based on a family office or wholesale funding line.

Whilst small, MCF are exceptionally efficient and simply priced. Development loans priced without a line fee often make MCF a competitively priced option for small developments of <$3M borrowing requirement. Their knowledge of local markets also means they are quick to an approval allowing cadence for clients.

Lateral Partners enjoy working with MCF on transactions local to Christchurch but also a little further abroad closing deals in Dunedin and the West Coast allowing clients opportunities for funding in more regional locations.

Overall MCF are often a consideration of Lateral Partners for any transactions in Christchurch or other South Island locations.


  • Quick decisions
  • Well priced
  • Ability to fund more regional locations


  • Restriction on lending size.
  • Active Credit Policy meaning appetite can change regularly.

4 – Spinnaker Capital

At number 4 we have Spinnaker Capital (Spinnaker) are one of New Zealand’s well respected Non-bank lenders. Martyn Reesby established Spinnaker in 2009 following the success of his property finance brokerage. Spinnaker are able to fund up to $30M on development projects throughout New Zealand and secure their funding by a mix of private capital and wholesale funding lines from major NZ Banks.

Being a subsidiary of a property finance brokerage Spinnaker could technically be considered a competitor of sorts to Lateral Partners, however, they place a lot of pride on preserving the broker relationship which is valued highly in the industry.

Having a very established pedigree in the New Zealand property market, Spinnaker have an exceptionally strong senior lending team with individuals such as Ollie Bent and Jack Fox who are both highly respected within the property finance industry.

Spinnaker are responsive and flexible with funding solutions. They will fund in most major centres around New Zealand and will price competitively for strong transactions.

Lateral Partners enjoy working with Spinnaker on mid – larger sized development transactions in Auckland, Wellington and Christchurch.


  • Quick decisions
  • Can fund up to $30M
  • Flexible with terms where required


  • Minimum $4M lending size.
  • Only major city centres.

3 – Pallas Capital

At number 3 we have Pallas Capital (Pallas) are a relatively new company in New Zealand, joining the NZ market in late 2022. Their parent company (also Pallas) is based in Australia and a well established non-bank financier in that market with approx. $1.8bn of funding extended.

Over much of the 2023 calendar year Pallas were focussed solely on bridging, commercial and residual stock lending. Beginning in 2024, however, they have also transitioned to development lending as well.

Pallas have wholesale / institutional funds alongside wholesale lending lines as their capital which allows them to fund large transactions. Focussed on the main city centres in New Zealand Pallas will fund across most asset classes and are reasonably well priced.

For their development finance, one item that is particularly attractive is their ability to provide a small layer of mezzanine debt alongside their senior tranche increasing leverage on projects.

Given their funding lines for residual stock / commercial property Pallas also provide good appetite for build to rent type projects as well.

Pallas are a lender Lateral Partners consider on most medium – large sized development deals in main city centres and residual stock lending.


  • Can fund up to $100M+
  • Flexible with terms where required.
  • Ability to increase leverage to a high LVR on good transactions.


  • Minimum $5M lending size for development.
  • Only major city centres.
  • Pre-paid interest on bridging deals leading to a higher effective interest rate.

2 – First Mortgage Trust (FMT)

Coming in at number 2 we have First Mortgage Trust (FMT) are perhaps the largest and most well known non-bank lender in New Zealand. With a head office in Tauranga and further offices in Auckland, Wellington and Christchurch FMT have boots on the ground in most major NZ cities and the ability to easily lend nationwide.

As a contributory fund FMT have approximately $1.60bn NZD under management giving it great capacity to lend at scale. Adopting a risk profile closer to a main bank it also means that FMT can price themselves more competitively than most if not all the non-bank market (particularly when it comes to development). The risk profile means certain transactions will not fit but they are very well priced and effective for those in their wheelhouse.

With Capital Group (a top NZ mezzanine financier) as their owner FMT are also able to look at highly leveraged solutions for transactions with healthy margins and sales.

For transactions commanding a better price point whilst achieving more flexibility than the bank FMT are Lateral Partners go to funder whether it is development finance, bridging or commercial property.


  • Can fund up to $40M+
  • Well priced (close to a bank).
  • Nationwide presence


  • Risk profile closer to a bank than most others.
  • Quick indicative terms but slower formal credit process.

1 – ASAP Finance

Our number 1 NZ non-bank for the 2024 year is ASAP Finance (ASAP). ASAP Finance are one of the larger and well established non-bank lenders in NZ. Establishing in 2004 ASAP Finance has been around for 20 years and was founded with by brothers Adarsh and Darpan Patel who remain actively involved in the business.

ASAP take pride in having a tight knit team that are intimately involved in their clients transactions with a deep property development and finance understanding. Each member of their team have been involved in their own developments and work closely across all aspects of their clients projects (albeit I haven’t actually seen them swing a hammer!).

Because of their engagement in the sector ASAP’s big sale point is their ability to fund projects with no pre-sales, QS or valuation. This can have it’s limitations, particularly around valuation where there can be disputes as to values, however, it does mean they can move quickly and often at a lower cost than other funders.

At Lateral Partners we find ASAP a compelling solution for small – mid sized developments (particularly in this market) because of the above and their pricing structure (higher interest rate but no line fee) which can make them cheaper than the alternative.

ASAP also build very strong relationships with repeat clients and are happy to consider great flexibility where a strong bond has been built as we have seen proven this past year.

A big congratulations to ASAP!


  • Can fund up to $50M+
  • Speed of approval and drawdown – can be within days.
  • Lend in all major NZ cities.
  • Lack of required consultants and pricing structure meaning they are often cheaper than an alternative.


  • Internal risk measures which can be conservative.
  • High rates which can make bridging or land banks difficult.

So that was our top 5 list. Some other notable companies to mention but couldn’t crack the top 5 this year are NZMS 1st Fund (their FMT challenger), Cressida, Vincent Capital and Mount Capital.

As always reach out if you have a project and need some help.

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