Question: You are a small developer and have a construction deal that has been approved. Youre now looking for a lender and an equity partner. Its

You are a small developer and have a construction deal that has been approved. You’re now looking for a lender and an equity partner. It’s a $100M all-in cost to purchase and build the project. You’ll get $60M in debt from a senior lender (no mezzanine debt allowed) and the remainder in equity.

How would you structure the $40M equity?

What considerations would you evaluate and discuss with the lender?

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Structuring the 40 million equity for your construction project and discussing it with a lender involves several considerations Heres a common way to structure the equity and key points to discuss wit... View full answer

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