36 unit Condo Building Construction loan

[Frank Pyle]

I'm looking for loan options for a construction loan.  We are seeking a construction loan for a condo building, with a total build cost of $5.2 million and an improved value of $7.9 million.

The proposed construction involves constructing a 65,067 square foot residential condominium building in 2025, comprising 36 individual units. These units are intended for sale to owner-occupiers with an average sale price of $250,000. 

Key details of the project are as follows:

• The lots, vertical utilities, and plans totaled over $400,000 and are owned free and clear, with no debt.
• Vertical utilities and plans are complete. Permits are in process.
• The project is shovel-ready.

Any suggestions?

[Jay Hinrichs]

Quote from @Frank Pyle:

Quote from @Stuart Udis:

@Frank Pyle Have you had this construction priced? I don't believe there's anywhere in the US where you can build a 36 Unit 65,000 SF building at $80/ft which is how you are describing the costs if you expect to build this structure for $5.2M. That's where you should start, because I am afraid you are way off with your cost projections. Hopefully you can achieve a higher sell off than $7.9M/$220K/door as well because I don't believe this is a feasible project (your $250k sell off doesn't align with your $7.9M sell off either).

Thx.  We are the developer and builder.  Cost is solid.

I second Stuarts comments 80 a foot I only see in starter sfrs built to minimum ubc code in TX or Al  areas of the country.. in our Oregon market these type of buildings would run 250 a foot to build  IE a MF .. condo basically the same.. Just sayin..

as for the loan when I looked at a MF ground up lender wanted land paid for and would advance 75% of vertical we needed both the land soft costs and 25% of vertical in cash .. And experince building these or very experienced GC.