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| Archwood Real Estate, Inc. Investment Brokerage & Real Estate Financing (818) 376-8582 |
Construction Financing
From new construction of multi-family properties, to the construction or gut renovation of
office buildings and retail facilities, Archwood Real Estate can handle the construction
financing for a wide array of project types.
Archwood Real Estate can structure long-term, permanent "take out" loans even before the
first shovel breaks ground. We even have the ability to provide a forward commitment
delivering an early rate lock 18-24 months in advance of a project's completion and stabilization.
This loan structure allows the Developer/Borrower to include the debt-service component in
their budget and pro-forma, removing the usual risk and uncertainty with regard to where
interest rates will be by the time the project is completed. This can be a major advantage
because the rate for a permanent loan is typically not fixed until the completion of a project.
In most cases, we utilize LIBOR-based, floating-rate construction loans, which typically require
interest-only payments during the construction period. Personal guarantees are usually required
for smaller scale projects, while larger deals can often be placed with limited personal
guarantees, and in some cases, on a non-recourse basis.
office buildings and retail facilities, Archwood Real Estate can handle the construction
financing for a wide array of project types.
Archwood Real Estate can structure long-term, permanent "take out" loans even before the
first shovel breaks ground. We even have the ability to provide a forward commitment
delivering an early rate lock 18-24 months in advance of a project's completion and stabilization.
This loan structure allows the Developer/Borrower to include the debt-service component in
their budget and pro-forma, removing the usual risk and uncertainty with regard to where
interest rates will be by the time the project is completed. This can be a major advantage
because the rate for a permanent loan is typically not fixed until the completion of a project.
In most cases, we utilize LIBOR-based, floating-rate construction loans, which typically require
interest-only payments during the construction period. Personal guarantees are usually required
for smaller scale projects, while larger deals can often be placed with limited personal
guarantees, and in some cases, on a non-recourse basis.
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| Archwood Real Estate, Inc. - 16217 Kittridge St., Van Nuys, CA 91406 - Phone: (818) 376-8582 - Fax: (818) 376-8572 California Broker #01445207 |
