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New Construction

Riviera Beach, FL – Luxury New Construction

Lima One Capital worked with a broker to fund construction of two luxury homes in the West Palm Beach market.

By the Numbers:

$3,902,808

Loan Amount

$2,722,928

Construction Budget

85%

Blended Loan to Cost Leverage

$6.4M

After-Repair Value

61%

Loan to After-Repair Value Leverage

2

Luxury Single Family Homes

The Opportunity

A broker was looking to place a deal for a builder ready to build two luxury single-family homes in Riveria Beach, Florida, in the Palm Beach area. The builder needed a lender that could successfully underwrite high-ARV spec builds and offer high loan-to-cost leverage.

The broker’s search brought her to Lima One, whom she had not worked with before.

The Solution

Lima One underwrote these luxury builds and offered $3.9 million in financing for the two properties, at a blended loan to cost leverage of 85%. This included 100% of construction costs. The builder will benefit from Lima One’s fast in-house draws through the life of the loan, and the ability to pay off the loan whenever construction is complete with no prepayment penalty.

With a strong financing partner in place, the builder is off to the races, and both the builder and the broker are set up for profit on the deals.