Construction Loans
Financing for New Builds and Major Development Projects
Construction loans provide funding for ground-up construction, major renovations, property improvements, and redevelopment projects. These loans are typically structured to release funds in stages as construction progresses and specific project milestones are completed.
This financing option can help business owners, investors, and developers manage construction costs while preserving available capital for other project and operating needs.
Who Can Benefit from Construction Loans?
Construction financing may be suitable for borrowers planning new developments, property expansions, or substantial improvements.
Borrowers and projects that may benefit include:
- Commercial Property Developers
- Real Estate Investors
- General Contractors
- Business Owners Building New Locations
- Multifamily Development Projects
- Retail and Office Construction
- Industrial and Warehouse Projects
Construction Loan Considerations
Ground-Up Construction
Financing may be used to support the development of a new commercial, residential investment, multifamily, or mixed-use property.
Renovations and Redevelopment
Construction loans may also help fund major improvements, property conversions, structural upgrades, and extensive rehabilitation projects.
Funds Released in Stages
Loan proceeds are often distributed through scheduled draws based on completed work, inspections, and approved construction milestones.
Project and Borrower Review
Lenders may evaluate the construction budget, project plans, timeline, contractor experience, property value, borrower qualifications, and expected completed value.
Planning for Permanent Financing
Construction loans are generally temporary and may need to be repaid through a property sale, refinance, or take out loan after completion. San Juan Capital can help explore financing options that align with your project scope, budget, timeline, and long-term plans.