I think we all probably know
someone who is having a heck of a time finding construction financing.
Good project, good borrowers, but the bank just won’t budge an inch?
This is a common story in our market. What about developers who are
in the middle of a good project when their banker calls in the loan?
Even my private/hard money lending sources aren’t touching construction
projects right now and that’s scary. 
 
The good news is that private money is still available for construction
projects from $500K to $2MM. I have one investor that is still doing
construction financing while everyone else stands on the sidelines!
We’ve been doing loans with them for 6 years. Here are the highlights/requirements:  
 
—Residential, Commercial Construction Financing Available! (NO RESIDENTIAL
DEVELOPMENT PROJECTS!) Currently lending in AK, HI, OR, CA, NV, CO  
—Commercial Construction ONLY in WA, ID, UT, TX (Industrial, office,
multi-family, retail) (No residential)  
—55% Loan to value (based on a realistic valuation) and 65% Loan to
Cost. No reimbursement for entitlement costs already paid.  
—35% of project cost must be brought in by borrower. This can sometimes
be free & clear land that can serve as borrower’s cash in.  
—$500K min. May consider loan amounts down to $350K.

These requirements sound pretty
harsh but they are what they are I suppose. Does anyone else have a
source for construction financing they can share?