Private Placement Markets Originates, Underwrites and Services Commercial Construction Real Estate Loans. Private Placement Markets offers Flexible Solutions for Financing of Commercial Construction Ventures, using a “common sense approach of financing that allows Private Placement Markets to offer flexible Real Estate Financing options to meet the unique needs of Real Estate Investors in today’s market.”

Private Placement Markets’ Commercial Real Estate Financing Program is an excellent alternative because the Private Placement Markets focuses on the “Value of the Property” and its “Revenue Generating Potential”, thus eliminating the personal income reporting requirements of traditional loan.

COMMERCIAL CONSTRUCTION LOANS:

  • Financing Amount:

    • Minimum: $250,000 USD

    • Maximum: Unlimited

  • Locations:

    • United States (all 50 States) & Canada

    • International on a Case-by-Case Basis

  • Cash Capital / Equity from Borrower:

    •  20% (if equity, must be "as-is" value equity, not equity value of the property after improvements).

    • Pre-Sales may be a substitute for Cash Capital / Equity from Borrower. 

  • Maximum Loan To Improved Value

    • 80%

    • 65 to 75% for International

  • Typical Borrower Profile:

    • Long Verifiable Development Experience

    • Strong Personal / Company Balance Sheet

  • Maximum Loan To Cost:

    • Up to 100% (may include Land Acquisition, Construction, Title Fees and Interest Reserve as long as the Max Loan to Improved Value is not exceeded).

  • Loan Terms & Rates:

    • 2-4 Years (Five Years for High Rises)

    • Interest Only on Funds Advanced to the Borrower for the Development. 

    • TBD - Higher thank Bank Rates, but Lower than Hard Money Loan Rates.

  • Personal Guarantees:

    • Never

    • Borrower Must be an LLC, S-Corp or a Partnership (No Loans issued to Individuals)

  • Asset Pledge:

    • Borrowing Entity must pledge 100% of its Equity Shares to Lender, and in the event of an uncured default (181 calendar days), Lender shall take possession of the Pledged Shares. 

  • Property Types:

    • All Commercial Property Types

  • Upfront Cost:

    • Valuation: $500 to $900 

    • Site Visit: All Commercial Construction Loan Applications require site visits as part of the Underwriting process. Borrower will be required to cover all travel and lodging costs. 

  • Borrower Financials:

    • 2 Year Personal Financial Statements (un-audited) for all Principal Members of the Borrowing Entity. 

  • Lender Equity Participation:

    • Considered on a Case-by-Case Basis, but not a requirement. Higher Rate of Loan Interest may be considered in Lieu of Equity Participation. 

Private Placement Markets, LLC ("Private Placement Markets"), a Delaware Limited Liability Company, is a Private Placement Debt Underwriter, Private Debt Loan Servicing Agent and an Investor Relations Firm. The Private Placement Markets do not offer, and do not offer to provide any broker dealer or market maker services (through broker dealers and market makers are trading members of Private Placement Markets, trading both for their own accounts and/or client's accounts). The Members of the Private Placement Markets operate this website (referred to as the “Website”). By accessing this Website and any pages thereof, you agree to be bound by its Terms of Use and Privacy Policy. Past performance is no guarantee of future results. Any historical returns, expected returns, or probability projections may not reflect actual future performance. The Private Placement Markets, and/or any of its members, do not provide financial planning services. The Private Placement Markets, and/or any of its members, do not provide tax advice and do not represent in any manner that any of the outcomes described herein will result in any particular tax consequence. The Private Placement Markets Participants should conduct their own due diligence, not rely on the financial assumptions or estimates displayed on this Website, and are encouraged to consult with their own financial advisor, attorney, accountant, and any other professional that can help you / them to understand and assess the risks associated with any Private Placement Debt Lending / Investment Opportunity.

© 2019 by Private Placement Markets and Steve Muehler