Financing a small development project is about the numbers of the project itself, not just the borrower. Lenders look at what it costs to build, what it will be worth, and how it pays off at the end. Here are the basics.
Your build-and-sell math: the project's costs measured against its expected value.
Developers put in meaningful equity; financing covers a portion of costs.
Construction (hard) plus design, permits, and fees (soft).
Lenders expect a buffer set aside for the unexpected.
A sale, refinance, or lease-up that repays the financing.
A realistic pro forma, the market and how quickly units sell or lease, your experience and team, zoning and permits, and a clear exit at the end.
The project plans and budget, your pro forma, the site and zoning details, your track record, and proof of equity. The clearer the picture, the stronger the file.
Working on a project? Bring us the plans, the budget, and your pro forma, and we will walk through how the financing could come together. A licensed member of our team will follow up.
Start a conversationInformation here is general and educational. It is not financial, legal, or lending advice, and it is not an offer of financing. Development financing structures vary by lender, project, and province. Any figures shown are illustrative only. All financing is subject to lender and project review and supporting documentation. Submission of a form does not guarantee approval or financing.