Eligible Property Types
- New single-family residential construction (investor-owned, not owner-occupied)
- Townhome and attached residential development
- Small multifamily new construction (2–12 units)
- Suburban infill development and lot development
- Build-to-rent residential development
- Land acquisition with immediate construction commencement
Common Use Cases
- Ground-up construction of single-family or townhome properties for sale or rental hold
- Suburban infill development on entitled lots
- New construction of small multifamily for investment and income
- Build-to-rent development for portfolio hold strategy
- Spec home construction by experienced residential developers
- Land-to-vertical development for qualified sponsors
Typical Borrower Profile
- Experienced residential developers and builders with completed ground-up projects
- Sponsors with a documented track record of on-time, on-budget project delivery
- Contractors or developer-contractors seeking construction capital
- Real estate developers with entitled land and a defined project plan
Required Documentation
- Full project budget, including hard costs, soft costs, and contingency
- Construction plans, permits, and specifications
- Completed value appraisal or feasibility study
- Borrower track record of completed construction projects
- Entity documents, operating agreement, and credit authorization
- Land title and survey
- General contractor agreement and contractor qualification materials
- Draw schedule aligned to project milestones
Frequently Asked Questions
How does a construction draw work?
Rather than funding the full loan at closing, construction loan proceeds are disbursed in stages (draws) as project milestones are met. A third-party inspector verifies work completion before each draw is released. Interest accrues only on the drawn balance.
What is LTC and how does it apply to construction financing?
LTC (loan-to-cost) is the ratio of the loan amount to the total project cost, including land, hard costs, soft costs, and financing costs. Construction loans are typically underwritten to a maximum LTC of 80–85%, meaning the sponsor must contribute a meaningful equity position relative to total project cost.
Is land acquisition included in the loan?
Land acquisition can be included within total project cost for eligible projects with immediate construction commencement. Stand-alone land loans without a defined construction plan are generally not available under this program.
What is the typical exit strategy for a construction loan?
Exit strategies include sale of the completed property, refinance into a DSCR loan for hold as a rental asset, or refinance into a permanent commercial loan for income-producing multifamily projects.
Request Preliminary Terms
Submit your loan request summary and a member of our originations team will follow up to discuss preliminary terms.
Submit a Loan Request Contact OriginationsEligible Markets
Lending is limited to the Top 200 U.S. MSAs. Rural and low-population markets are not eligible.
Subject to underwriting, collateral review, borrower qualification, and lender approval. Not a commitment to lend.
Related Programs
How the Preliminary Term Process Works
Programs are available for qualified sponsors, developers, brokers, and real estate investors. Preliminary terms are subject to underwriting, valuation, market conditions, borrower qualifications, collateral review, and final credit approval.
Step 01
Submit Loan Request Summary
Provide property address, loan amount requested, use of proceeds, and sponsor information through our secure loan request submission portal.
Step 02
Preliminary Review
Our originations team reviews the submission and responds with a preliminary indication of interest and any additional information needed.
Step 03
Term Sheet Issuance
If the loan request meets our program criteria, we issue a preliminary term sheet outlining structure, pricing, and conditions for formal underwriting.