Asset & Project Finance
Banking & Finance Law
Key Takeaway
Our asset and project finance practice provides comprehensive legal services for the financing of major assets, infrastructure projects, and property developments across Queensland and nationally.
Our asset and project finance practice provides comprehensive legal services for the financing of major assets, infrastructure projects, and property developments across Queensland and nationally. We act for lenders, borrowers, sponsors, contractors, and other stakeholders in structuring, negotiating, and documenting asset-backed lending and project finance transactions across a diverse range of industry sectors. Our asset finance expertise covers equipment finance, vehicle and fleet leasing, aircraft finance, marine finance, and the financing of industrial plant and machinery. We document chattel mortgages, hire purchase agreements, finance leases, operating leases, and sale and leaseback arrangements, ensuring that each transaction is structured to achieve the client's commercial objectives while optimising tax, accounting, and regulatory outcomes. Our project finance practice encompasses the full spectrum of project financing structures, including limited recourse financing, non-recourse financing, corporate financing, mezzanine financing, and hybrid arrangements.
Our asset and project finance practice has a strong track record across all stages of the lending lifecycle, from origination and structuring through documentation and settlement to ongoing facility management and loan repayment. For asset finance transactions, we advise on the most appropriate legal structure having regard to the nature of the asset, the credit profile of the borrower, the tax position of both parties, and the regulatory environment. We document chattel mortgages, hire purchase agreements, finance leases, operating leases, and sale and leaseback arrangements. For each transaction type, we ensure that the documentation accurately reflects the legal and commercial substance of the arrangement, including the allocation of risk and reward, the responsibility for maintenance and insurance, the treatment of the asset upon default or termination, and the rights and obligations of each party at the end of the facility term. Our project finance documentation is integrated seamlessly with the broader project documentation to ensure that the rights and obligations of all parties are clearly defined and consistent across the transaction documents.
Asset Finance Structures & Documentation
We provide detailed advice on the legal structure of asset finance transactions, ensuring that each transaction is documented in a manner that reflects the commercial agreement between the parties and achieves the desired legal, tax, and accounting outcomes. Our asset finance documentation is comprehensive and covers all standard asset types including motor vehicles, plant and equipment, aircraft, vessels, IT infrastructure, medical equipment, and agricultural machinery. For chattel mortgage transactions, we prepare a chattel mortgage together with the associated loan agreement. The chattel mortgage grants the lender a security interest in the asset while allowing the borrower to retain possession and use of the asset during the term of the facility. We ensure that our chattel mortgage documentation complies with the Personal Property Securities Act 2009, including the requirements for attachment and perfection of the security interest, and we manage the PPSR registration process for each transaction.
Project Finance Structuring & Risk Allocation
Project finance transactions involve complex legal structures designed to allocate risk among the various project participants in a manner that is acceptable to lenders and other stakeholders. Our practice includes substantial experience in structuring and documenting project finance transactions across infrastructure, property, resources, and energy sectors. The core legal structure involves a special purpose project company that holds the project assets and enters into the project and financing documents. We advise on the establishment and structuring of the project company, including the shareholding arrangements, constitutional documents, and the contractual framework governing the rights and obligations of sponsors, lenders, and other project participants. The allocation of risk among project participants is the central challenge in any project finance transaction, and we advise clients on the identification, allocation, and mitigation of project risks through the contractual framework.
Security, Step-In Rights & Direct Agreements
Security documentation in asset and project finance transactions is typically more complex than in standard commercial lending, reflecting the nature of the assets being financed, the involvement of multiple parties, and the need to provide lenders with effective enforcement mechanisms while preserving the value and operational integrity of the project or asset. Our security documentation includes fixed and floating charges over all assets of the borrower, mortgages over real property, assignments of key project documents and material contracts, pledges of shares in the project company, charges over bank accounts including project accounts and reserve accounts, and specific security over financed assets. In project finance transactions, step-in rights and direct agreements are critical mechanisms that enable lenders to protect their investment by stepping into the project company's position under key project documents in the event of default.
Syndicated & Multi-Source Financing Structures
Large-scale asset and project finance transactions often involve multiple lenders and financing sources, requiring careful coordination and documentation of the relationships among the various financing parties. Our practice includes substantial experience in syndicated lending, club deals, and multi-source financing transactions. In syndicated lending transactions, we act for arrangers, lead managers, and lenders in documenting the syndicated facility and coordinating the syndication process. Our syndicated loan documentation follows the standard forms published by the Asia Pacific Loan Market Association adapted as necessary for asset and project finance transactions. For multi-source financing transactions involving different classes of debt, we prepare and negotiate the intercreditor deed that governs the priorities, voting rights, and enforcement arrangements among the different classes of creditors.
Asset & Project Finance FAQs (Queensland Law)
What are project finance structures?
Our team advises on project finance structures. Project finance involves an SPV holding project assets. Financing is typically limited or non-recourse. involves an SPV holding project assets. Financing is typically limited or non-recourse, meaning lenders rely on project cash flows. Key documents include the facility agreement, security trust deed, direct agreements, and intercreditor deed.
What is a security trustee arrangement?
Our team helps establish security trustee arrangements. A security trustee holds security on behalf of all lenders in a syndicated or multi-source financing. The trustee holds security on behalf of all lenders in a syndicated or multi-source financing. The trustee manages the security package, coordinates enforcement, and distributes proceeds according to agreed priorities.
What due diligence is required for asset and project finance?
Our team coordinates due diligence for clients. Due diligence includes legal, financial, technical, and environmental aspects. Due diligence legal (title, corporate, regulatory), financial (cash flow models, feasibility studies), technical (engineering, environmental), and commercial (off-take agreements, insurance) reviews.
What is financial modelling in project finance?
Our team helps clients understand financial models for project finance. Financial modelling projects the project revenues, operating costs, debt service, and returns. projects the project revenues, operating costs, debt service, and returns. Lenders use it to assess debt service capacity under various scenarios. Key outputs include DSCR, LLCR, and IRR.
What is limited recourse lending?
Our team advises on limited recourse lending structures. Limited recourse lending means the lender’s recourse is limited to the project’s assets and cash flows. lending means the lender's recourse is limited to the project's assets and cash flows. If the project fails, the lender can enforce against project assets but cannot pursue sponsors for shortfalls.
Asset & Project Finance Services
- Chattel mortgage and hire purchase documentation for equipment, vehicles, and industrial plant and machinery
- Finance lease and operating lease documentation including sale and leaseback arrangements
- Aircraft finance including operating leases, finance leases, and secured loan facilities
- Marine finance for vessels including recreational, commercial, and maritime industry assets
- Project finance documentation for infrastructure, resources, and energy projects
- Property development finance including construction loans, bridging finance, and mezzanine financing
- Limited recourse and non-recourse financing structures for major projects and assets
- Syndicated and club deal financing arrangements for large-scale transactions
- Due diligence for asset and project finance transactions including legal, regulatory, and commercial reviews
- Advice on security structures including step-in rights and direct agreements
- Intercreditor arrangements and priority agreements for multi-source financing transactions
- Advice on regulatory compliance, tax considerations, and accounting treatment of asset and project finance
Last updated: July 2026
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