Small Business Administration (SBA) offers 7(a) loans to small businesses for a variety of purposes, including purchasing owner-occupied commercial real estate, refinancing existing debt, or financing equipment.

I would just check with your lender to verify that the property will be eligible for refinancing after the construction loan.

An upcoming refinancing maturity, too, can add to worries.Has this happened to investors here?  

I've seen people agree to a balloon in three years, then have difficulty refinancing because they don't have enough equity.

Now to your point of refinancing after a year, this really doesn't make sense.

@Corbin HiblerSome jurisdictions will allow repairs to be rolled in when its main sewer repairs - unlikely but you can ask.Have you considered refinancing the first to get $ out - probably not ideal but an optionLast option is to sell the property.

Traditional refinancing and selling has proven challenging, so I’m considering more creative options, such as private lending or partnership arrangements.Questions for the Community:Have any of you dealt with a similar situation? 

In Gary Keller’s book, Shift, he lists 25 creative options that are most common, but barely scratch the surface:- Seller Contributions- Seller-Funded Permanent Buydown- Seller-Funded Temporary Buydown- Owner Financing- Contract For Deed- Seller Second Lease Option And Lease Purchase- Seller-Assisted Down Payment- Wraparound And Assumable Mortgage- Gift Funding- Selling And Refinancing Existing Assets- Non-Occupied Co-Borrowers- Using 401(K)- Temporary IRA Transfer- Pledged Asset Mortgage- Equity Transfer And Bridge Loan- Employer-Assisted Mortgage- Lender-Funded Buydown- Fannie Mae’s “My Community Mortgage”- Running Scenarios With Automated Underwriting Systems- Adjusting Amortization Period To Lower Payment- Adjusting Interest Rates To Cover Closing Costs- State, Province, And Local Grant Or Bond Programs- Mortgage Credit Certificate- Private LendingHe said these options barely scratch the surface.

If I were renting it out and not refinancing I wouldn't take that cost up front personally.

Congrats  and keep you eye  on  refinancing  options  in the  future to improve on the mortgage  terms