By way of example, a lender may charge retainage, only release soft costs upon C/O, may limit loans to a set number of draws or only allow draws once a certain dollar amount of work has been completed.

I understand this is part of the learning curve, and once I can have the PM "release" me, I might consider it and save 3k/yr!

Easy to release if needed.  

I do have a lender in place that releases draws only after inspection of a step of work is completed.

So as a result of my “asset protection” procedures, the end result was that instead of being sued personally and having to spend the time, money and emotional stress of both defending my self AND suing the insurance companies and condo association, the plaintiffs accepted an ASSIGNMENT of proceeds and signed a form releasing me and my LLC from liability in exchange for the right to go after the insurance companies themselves. 

This property will not compete with hotels is what I thought  I PM Tampa primarily (also Ft Myers, Naples, Sarasota, Brandenton, and even some in NJ) and I just released by last unit (had 5 at one time) in Orlando area. 

I'd be ok putting money in escrow that can be released at stages if and when part of the job is complete.

My Hard Money Lenders held the money in escrow and would not release the funds until the work was done, inspected, and they knew it was properly done. 

Initially, the mayor did a press release saying they wouldn’t allow any unrelated occupants to live outside of a certain small area.

It's important to note that SEC regulations can evolve, so for the most up-to-date information and advice, you should refer to the latest SEC releases or consult a legal professional.