Construction Financing

Commercial Construction Loans in Florida

Ground-up development, substantial rehab, and condo conversion financing from $10M to $100M+. Non-recourse options available. Fast closings with experienced capital partners.

$100M+
Max Loan Size
Up to 80%
LTC Available
24-36 Mo
Construction Term
Non-Recourse
Options
Construction Products

Construction Loan Programs

Banyan sources competitive construction financing across multiple property types, development stages, and borrower profiles.

Non-Recourse Construction

Senior construction loans with non-recourse provisions for experienced sponsors. Limited guarantees with streamlined underwriting for strong projects and track records.

Ground-Up Construction

Financing for new construction projects from site acquisition through completion. Floating interest during construction, with perm takeout options or stabilized refinance.

Condo Conversion Financing

Bridge and interim financing for condo conversion and horizontal property regime conversions. Interest-only advances tied to unit sales, with flexible holdback structures.

Substantial Rehabilitation

Construction financing for major rehab and repositioning projects. Value-add projects with renovation holdbacks, including adaptive reuse and repositioning strategies.

Construct-to-Perm (Single Close)

Single loan that rolls from construction to permanent financing at stabilization. Simplifies closing process and locks permanent terms upfront — ideal for developers.

Hard Money & Bridge

Short-term construction financing for time-sensitive acquisitions and development launches. Fast funding with minimal conditions and experienced capital partners.

Loan Structure

Construction Loan Parameters

Typical terms and structures available through Banyan's network of construction lenders.

Loan Parameter Typical Structure Flexibility
Loan Amount $10,000,000 – $100,000,000+ All loan sizes negotiable; larger loans may receive institutional pricing
Loan-to-Cost (LTC) Up to 80% 60–80% typical; higher LTC available for strong sponsors and properties
Interest Rate Structure Prime + 2.5% – 4.5% (floating) Fixed-rate options available; rate locks negotiable at closing
Interest Accrual Interest-only during construction Accruing or non-accruing interest; holdback options available
Construction Draws Monthly or milestone-based Customizable draw schedule based on construction timeline
Construction Term 24–36 months Extendable; multi-year extensions available with lender consent
Permanent Takeout Loan commitment optional Bridge to stabilization; refinance or sale options at completion
Guarantees Full recourse to sponsor Non-recourse structures available for experienced borrowers
Prepayment Generally open after construction Most construction loans allow payoff at completion or stabilization without penalty
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Banyan Advantage

Why Banyan for Construction Financing

Construction lending requires deep lender relationships, market expertise, and the ability to navigate complex project timelines. We've closed over $500M in construction loans across the Southeast and nationwide.

  • Construction Expertise 20+ years sourcing construction capital for all development types and borrower profiles
  • Lender Network Relationships with 40+ construction lenders — banks, life companies, private capital, and institutional funds
  • Non-Recourse Options Access to hard-to-find non-recourse and limited-guarantee structures for sponsors and experienced developers
  • Competitive Terms Market-rate pricing with flexible structures; we negotiate on interest rates, LTC, and holdback terms
  • Fast Closings Expedited underwriting and closing timelines for time-sensitive projects and acquisitions
  • Permanent Takeout Optional forward commitments for permanent financing; refinance or sale flexibility at stabilization
Related Reading
How to Get a Commercial Bridge Loan → How to Choose a Commercial Mortgage Broker →
Common Questions

Frequently Asked Questions

What is the typical LTC for a commercial construction loan?

Commercial construction loans typically offer up to 80% loan-to-cost (LTC). This means the lender will finance up to 80% of your total project cost, requiring 20% in equity or developer contribution. LTC varies by property type, location, sponsor track record, and market conditions.

Are non-recourse construction loans available?

Yes—Banyan specializes in non-recourse construction loans for experienced sponsors and institutional developers. Non-recourse structures limit your personal liability and are secured solely by the property and project. They come at competitive rates and are ideal for developers who want to limit guarantees.

How long does a construction loan take to close?

Construction loans typically close in 30-60 days. This timeline includes underwriting, property appraisal, legal documentation, and final lender approval. Experienced capital partners and our streamlined process can help accelerate closings for time-sensitive projects.

What types of properties qualify for construction financing?

Construction financing is available for multifamily, mixed-use, retail, office, industrial, hospitality, land development, and horizontal development projects. Specialized programs exist for ground-up construction, condo conversions, substantial rehabilitation, and adaptive reuse projects.

Is the prepayment penalty flexible on construction loans?

Generally, construction loans allow prepayment without penalty once the construction period ends and the property reaches stabilization. If you refinance early into permanent financing or sell, the payoff is typically not subject to prepayment penalties—check specific loan documents for details.

Do I need a permanent loan takeout commitment?

It depends on the lender. Some construction lenders require a forward permanent loan commitment; others allow you to refinance or sell at stabilization without pre-commitment. Construct-to-perm single-close loans roll automatically into permanent financing. We'll advise on the best structure for your project timeline.

Ready to Finance Your Construction Project?

Whether you're acquiring land, starting construction, or refinancing mid-project — Banyan can source the right capital at competitive terms.