Builder Lending Program Overview

HOME BUILDER LOANS THAT MAKE SENSE

Capital Funding Corporation Lending provides home builders with dependable access to non-recourse Construction and Acquisition & Development (A&D) loans for for-sale residential development in the bi-coastal regions of the United States. Backed by the fully-integrated financial services platform of Capital Funding Corporation, and industry professionals with proven expertise in construction lending, Capital Funding Corporation Lending is a reliable capital source for home builders coast to coast. The limited traditional bank financing has left home builders with fewer options for construction and A&D loans. Capital Funding Corporation is one of the first private lenders to re-enter this area of finance since the financial crisis. Capital Funding Corporation focuses on entry-level to luxury projects, including detached single-family homes, townhomes and condominiums. Capital Funding Corporation Lending is a dependable debt source for builders with projects that exhibit sound feasibility, quality design and a defined competitive edge.

WHY CAPITAL FUNDING CORPORATION LENDING ?

  • Non-recourse construction loans from $3M to $50M, higher in select cases
  • Fast turnaround time on lending decisions
  • Local market expertise
  • Up to 85% LTC / 75% LTV for qualifying projects
  • 12 to 36 month terms, with 48 month terms in select cases

BUILDER LENDING PROGRAM OVERVIEW

Territory: NATIONWIDE
Property Types: For Sale Residential Housing: detached, townhomes and condos (no mid-rise or high-rise {+ 3 stories})
Scope: A&D and Construction financing for production housing. No purely land development financing Max # lots/units: 100 with ability to go higher on an exception basis Entitlements: Tentative Tract Map
Collateral: First deed of trust Loan Size: $3 million minimum; $35 million maximum with ability to go higher on an exception basis
Recourse: Non-recourse on repayment. Completion guaranty and environmental indemnity required
Leverage: Up to 80% LTC “blended” meaning max 85% LTC on vertical and max 75% LTC on A&D
Pricing: Prime based rate with a floor; 1% per annum commitment fee; exit fee based on sales price of unit- amount dependent on LTC
Pricing: Prime based rate with a floor; 1% per annum commitment fee; exit fee based on sales price of unit- amount dependent on LTC
Term: Maximum 36 months with an ability to go to 48 months on an exception basis
Amortization: None, I/O

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