Salim Mehajer appears to have pulled off a great financial escape.
Suspended Auburn councillor Mehajer has been celebrating this week and appears set to spend less time in court after securing $65 million in loans from Hong Kong to build a major apartment project.
As Fairfax Media revealed on Wednesday, the developer had installed experienced Malaysian businessman Kenneth WH Lee as the head of his companies, an unusual move for a man who has relied only on trusted family and friends.
That swap may have gotten Cr Mehajer's deal over the line after a dwindling pool of Australian lenders were willing to do business with the developer-politician with a growing reputation for non-payment.
Those who did offered interest rates of up to 36 per cent. Several were locked in legal wrangles over alleged non-payments and several had secured their money against his properties. They will now be paid out.
"We are half way there," Cr Mehajer said. "I made a commercial decision to go with an off shore funder due to the size of the project".
He was more effusive on Facebook: "For each one person that said to me 'It can't be done' it was just like two opportunities thrown at me to strive and give it another shot," he said. "I failed over and over and over again.... and for this reason, I can say, that is why I finally succeeded."
A Hong Kong-based fund manager is backing the deal to build a 14-storey tower in Lidcombe
Cr Mehajer is believed to have already sold about $35 million worth of units on the site.
He is hoping for about $115 million in total.
That could leave him with more than $20 million in profit.
