Poinciana, FL

The Opportunity

An investor looking to build single-family rentals on 60 lots in the Orlando suburb of Poinciana, FL came to Lima One looking for financing to purchase the lots and cover construction costs. Work had already begun, so the developer wanted financing that was efficient and allowed for quick construction draws.

In addition, because the takeout strategy was to hold these new builds as single-family rentals, the investor wanted a financing partner that offered Build2Rent® solutions that provided the best deal with minimal friction to move to a permanent loan.

The Solution

Lima One provided a $1.8 million interest-only blanket loan that covered the first 12 lots under development. This financing allowed the investor to immediately take a construction draw to cover work already completed. Because the investor has vast experience and a team to manage construction in house, he benefits from commitment funding, which means he does not have to pay interest on undrawn construction funds.

Lima One’s new construction financing allows the investor to start developing these lots with the confidence that he can easily execute the strategy of getting takeout financing to hold them as rentals. As always, Lima One provides ideal financing solution for both the construction and hold sides of a build-to-rent real estate investment strategy.