Loan Product
Ground Up Construction Loans: From Dirt to Done. $5M to $500M+.
A ground up construction loan funds your build from raw dirt to certificate of occupancy. Money goes out in stages called draws. You hit a milestone like foundation or framing, you get the next check. Most borrowers pay interest only while building. When the project is done, you sell or refinance into a long term loan. The institutional sweet spot here is $10M and up. The network covers everything from a small mixed use file at the floor to a $200M apartment tower with HUD 221(d)(4) takeout already lined up.
What the Network Covers
- Multifamily ground up. Debt fund, regional bank, agency forward ($5M to $200M)
- Hospitality ground up ($5M to $100M)
- Mixed use and commercial ($1M to $50M)
- Industrial and flex ground up ($5M to $100M)
- HUD 221(d)(4) for new construction and substantial rehab ($5M to $200M)
- Senior housing and assisted living construction (including HUD 232 takeout)
- Specialty asset ground up ($1M to $50M)
- First time builders backed by an experienced general contractor
Loan Snapshot
- Loan Amounts
- $5M to $500M+ across the network
- Typical Sweet Spot
- $10M+
- LTV / LTC
- Program dependent
- Term
- 12 to 36 months on debt fund and bank; long term fully amortizing on HUD 221(d)(4)
- Payment
- Interest only during construction
- Closing Time
- 30 to 90 days bank and debt fund; 9 to 12 months HUD 221(d)(4)
- Property Types
- Multifamily, hospitality, mixed use, industrial, senior housing, specialty
- Geography
- Nationwide, drawn from the 200 plus active capital source network
- Rates
- Rates depend on the deal. Submit your file or jump on a call and I will give you a real number.
Rates depend on the deal. Submit your file or jump on a call and I'll get you a real number.
First Time Builder?
If you have never built before, I can still get you funded. The catch: your general contractor needs at least three similar completed projects in the last 36 months. Bring me a strong GC and a clean budget, and we get the deal done.
Mid Market and Institutional Construction
Above $5M, the conversation shifts. Regional construction banks compete with institutional debt funds and HUD 221(d)(4) takeout. Each has different leverage, recourse, and timeline. I quote at least three structures so you can pick the one that actually fits your business plan.
Frequently Asked Questions
What is a ground up construction loan?
A ground up construction loan funds a real estate project from raw land through certificate of occupancy. Funds are released in milestone-based draws (foundation, framing, MEP, finishes). Most are interest only during construction, then refinance into permanent debt or sell at completion. We place ground up construction loans from $5M to $500M+.
Who is the best lender for a large construction loan?
Above $5M, the right lender depends on asset class and leverage. Multifamily ground up runs through regional construction banks, institutional debt funds, and HUD 221(d)(4). Hospitality construction runs through dedicated hotel debt funds and SBA. Industrial and mixed use are typically bank or debt fund. We quote at least three structures so you can compare side by side.
What does a construction loan broker do?
A construction loan broker packages your project, runs it past the right lender bench, negotiates terms, and manages the deal from term sheet through closing and into the draw process. The right broker saves months on the timeline and basis points on the rate. We have 200+ active lenders on the file.
Can a first time builder get a ground up construction loan?
Yes, if your general contractor has at least three similar completed projects in the last 36 months. Lenders underwrite the GC's track record almost as hard as the sponsor's. Bring an experienced GC, a clean budget, and an exit plan and we will get you funded.
How long does a construction loan take to close?
Bank and debt fund construction loans typically close in 30 to 90 days. HUD 221(d)(4) takes 9 to 12 months from application to close because of the agency review process, but it produces a 40 year fully amortizing non recourse loan that nothing else in the market matches.
Ready when you are.
Send me your file or pick up the phone. I answer 7 days a week.