Steady cash flow is blood line for commercial construction project whether you building office building, retail center, industrial building, or other type of income-producing property. We have a range of loans for construction of commercial property to fit your unique requirements. Our seasoned commercial lending officers have years of expertise in construction financing. Our team of commercial construction experts includes accountants, engineers, and other principals who make sure you achieve your desired goals.
A construction loan is a loan that help the borrower to build, expand, rehabilitate, or reposition a property. In most cases loans to finance real estate development project fall under two broad categories, although sometimes these two loans will also be combined into one:
Short term financing. This caters the financing needs for the construction and lease up phase of the project.
Long term permanent financing. Once a project becomes stabilize and leases up to market level of occupancy, the construction loan is “taken out” by longer term permanent financing.
Following plays vital role in decisions related to commercial construction loan:
- Value of finished project must more the cost of construction.
- Loan-to-Value Ratio
- Loan-to-Cost Ratio
- Debt Service Coverage Ratio
- Net-Worth-to-Loan-Size Ratio
If you have questions about the Contruction Financing contact our mortgage advisors now.