Large Development Financing

By
Real Estate Mortgage Broker with Dominion Commercial Consultants

 

One of the biggest mistakes made by commercial lenders is to become blinded because of the size of a development deal, and because of this not rationally review the merits of a project.

 We see multiple projects a month and the majority of them do not have the items in place necessary for any financing source to want to fund a project.

If you are reviewing a large development project, before you get blinded by the potential commission, confirm these important points:

1) Does the developer have money into the project

2) Are the entitlements in place

3) Are the financials and the pro-forma up to date

4) Is there a well thought out marketing strategy

5) Has the developer been involved in projects of this type and size before

These may seem like simple points, but confirming and reviewing this information before pursuing financing can save you a great deal of time and energy.

close

This entry hasn't been re-blogged:

Re-Blogged By Re-Blogged At
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the lock to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Comments 5 New Comment

Anonymous
Post a Comment
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the music-note to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Rainer
160,380
Dwayne West
Canton Georgia Real Estate
Atlanta Real Estate
Paul,Welcome to this great community of Real Estate professionals and mortgage professionals here at Active Rain.
March 20, 2008 11:17 AM
Rainmaker
255,686
Greg Steffens
Mountain Country Realty
Hey Paul - Welcome to AR and congrats on your first post.  I've only been a member for a short time and am already seeing benefits.  Take the time to poke around on other peoples' sites and see what their blogging.  Keep it up!
March 20, 2008 12:25 PM
Rainmaker
129,516
Rick Sergison
Durham Region Real Estate Blog
Keller Williams Real Estate Associates in the Toronto Area

I just stopped by to welcome you to Active Rain. I hope that you find it a great benefit to your business and that you see the value that I have also found here. I am from Charlottesville Virginia and using Active Rain has really increased my business!

My main blog on Active Rain is here: Charlottesville Real Estate Blog, not the link at the bottom of this post.

I hope you will look into the many groups as there are some great group both local and broad based,....

enjoy!

March 20, 2008 07:02 PM
Rainer
19,752
Katie Graham
Denver Real Estate
Cherry Creek Properties, LLC
I'm not too familiar with commerical lending. I look forward to future posts so I can educate myself. Welcome to the rain!
March 20, 2008 11:27 PM
Rainmaker
237,872
Benjamin Clark
Buyer's Agent - Certified Negotiation Expert
Homebuyer Representation, Inc.

Welcome to Active Rain! For some tips on how to get started here, check out my blog entry at ActiveRain Fast-Start Tips for Quick and Easy Points

Happy blogging and good luck!

March 21, 2008 02:02 AM
Anonymous
Post a Comment
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the graph to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Rainer
1,008

Paul May, Jr.

Ask me a question
*
*
*
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the foot to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase: