Construction Financing
Construction financing aligned with the budget, schedule, and path to stabilization.
Before a lender sees the deal, the loan, equity, draw schedule, reserves, recourse, and takeout plan need to work together.
LTG helps set the loan size, capital stack, and reserve mechanics before outreach. A clear case avoids reworking the deal after questions arise.
Construction Lending in NYC
For New York development, affordability programs, sponsor experience, budget, and stabilization assumptions should shape the execution strategy from the outset.
For qualifying projects, HUD 221(d)(4) may be a viable path. Its longer timeline should be weighed against the project’s capital and delivery schedule.
Typical Deal Parameters
| Loan Size | $10M to $150M+ |
| Leverage | Up to 65% LTC (typical); 70%+ on select programs |
| Term | 18 to 36 months construction + mini-perm option |
| Structure | Interest reserve included; structured draws |
| Recourse | Full recourse during construction; burns off at stabilization (typical) |
| Programs | Conventional, 421a, Affordable New York, HUD 221(d)(4) |
Working on a ground-up development or major renovation? Review the capital stack and lender-readiness questions before taking the project to market.