Tips on Structuring Partnership/Financing on NEW Build 8 plex??

[Matthew Heimann]

Hey Bigger Pockets, my partners and I work for a Design Build firm building 40MM Apartment complexes for other big developers and its time that we start developing for ourselves. Currently we have our eye on a lot that where we could build an 8-plex with a rough build cost of 1MM.  Our biggest question is Capitol. Our initial thought was to leverage all our professional design fees as well as builder (GC) fees to put towards 15% down payment, but it appears we can not find a bank that will do this. 

Our first question would be, have you heard of a bank that would have this type of creative financing? If so please message me!

Currently our team of (3) would be comprised of GC, Arch, and Structural and we would be equal partners. As we are finding that we cant leverage our fees, (which we would absorb into equity) as a down payment, we are looking at bringing in another partner who would supply the cash for the down payment. Our big question is how to structure this deal with a 4th partner. Would this 4th partner who brings the $150k be an equity or debt partner? Is there a standard set of terms? It seems that with this size of project we should keep the equity partnership as small as possible??? The one problem we see if they were a debt partner, how would we pull the equity out of a new build? Can we refinance and cash out on a new build? 

While we have been in the construction industry for a while we are entering uncharted territory with the financial side of development. Any advice is much appreciated!

Thanks!