Deal Summary
INSIGNIA arranged $1,200,000 of ground-up construction financing for a luxury spec home in Glencoe, Illinois, at 85% loan-to-cost.
| Item | Detail |
|---|---|
| Transaction type | Ground-up construction financing |
| Property | Luxury spec single family home, 5,778 SF, 6 bed, 7 bath, built 2024 |
| Location | Glencoe, Illinois |
| Total financing | $1,200,000 |
| Leverage | 85% loan-to-cost |
| Loan structure | Interest-only construction bridge loan, funded in draws |
| Term | 12 months |
| Capital source | Proprietary capital |
The Transaction
The builder constructed a 5,778 SF single family home on a 0.3 acre site for sale. INSIGNIA arranged an interest-only construction loan at 85% of project cost, funded with proprietary capital, with construction costs released in draws as work was completed.
The completed home was later recapitalized with an as-completed refinance while it was marketed for sale: view the refinance recapitalization.
Capital Structure
| Item | Detail |
|---|---|
| Loan amount | $1,200,000 |
| Leverage | 85% loan-to-cost |
| Structure | Interest-only construction bridge loan, balloon at maturity |
| Term | 12 months |
| Disbursement | Construction draws |
| Capital source | Proprietary capital |
INSIGNIA
INSIGNIA arranged the financing, including structuring the request, selecting the capital source and coordinating the process through closing. We place ground-up construction and development financing for builders and developers, from spec homes to larger projects, using the capital source that fits the sponsor and the business plan.
This summary describes a closed transaction for informational purposes and is not an offer of financing or a statement of current pricing, which varies with market conditions, property type, sponsor credit and program requirements.
