Commercial Lending Corporation Provides Solutions for Construction Firms

There are different types of commercial financing available through Commercial Lending Corporation to fit with your business needs. For example, one loan you are able to secure is a bridge loan. A bridge loan is a special kind of commercial loan used for short term financing when you want to close quickly on a sale or for some other reason where there is a delay in obtaining traditional long term financing. Once traditional commercial financing is secured, the bridge loan is normally paid off. For example, new construction projects might seek a bridge loan to obtain the financing needed to apply for building permits, site inspections and other such items. Once these items have all been completed, it is easier to secure a conventional construction loan to complete the project.

Another kind of commercial real estate loan program available through Commercial Lending Corporation which is used for some construction projects is called a mezzanine loan. This type of program is different from a bridge loan, because they are obtained early on, often during the development phase. The development phase is when a business wants to develop a piece of property and brings in the construction firm to act as the developer. During this time, blueprints, environmental impact studies and other items are completed before permit applications are submitted, as these items occasionally have to be included with the applications. Rather than put a lien against the property to be developed, some lenders will put a lien against collateral provided by the project developer. This way, if the project does not come about, the lender is still able to recover their money.

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