Investment opportunity with collateral land value $1.1 million
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[{"id": "hu46rfm", "text": "How many acres? Is it in a denser neighborhood? Industrial flex could be a play here if the site is right.", "replies": [{"id": "hu48fxp", "text": "It\u2019s about 2.3 acres. It\u2019s has a church and two medical buildings adjacent to it", "replies": [], "depth": 2}], "depth": 1}, {"id": "hu4bpon", "text": "A lender will want more than 20% down for a development. They will also want one of the partners to have a net worth equal to the value of the loan. They will want the land owner and you to be liable far beyond just the piece of land. \n\nMortgage payments, taxes, insurance, etc. during development are usually referred to as \u201ccarrying costs\u201d.\n\nEdit: most agents in the commercial space refer to themselves as brokers. I think you need a bit more experience before you try to tackle this one.", "replies": [{"id": "hu4ftcc", "text": "Yeah, I have seen usually 65% LTC for development. 70% and above are for experienced developers.\n\nThe rate can be high too. 5, 6, 7% or more are not uncommon.", "replies": [], "depth": 2}], "depth": 1}]