Deal Close
July 17, 2026
Type
Land, 5 acres
Loan Amount
$2,787,717.89
Landen Nix
Debt Placement Team
Executive Summary
Greysteel initially pursued financing for both the horizontal and vertical phases of this 30-lot single-family development.
Once it became clear the borrower could get cheaper vertical construction financing through its own homebuilding line, the team narrowed the assignment to the horizontal development only, structuring an 83% loan-to-cost facility that closed quickly and let the borrower move straight into building.
The Challenge
Financing both development phases together wasn’t the most cost-effective path for the borrower, and the team needed to recognize that and adjust the assignment’s scope rather than force a bundled financing structure that cost the client more.
The Solution
Greysteel structured financing for the horizontal development component only, at 83% loan-to-cost, and let the borrower take vertical construction financing through its existing internal homebuilding line — the cheaper option for that piece of the capital stack.
Results
- $2,787,717.89 loan closed, 83% loan-to-cost on the horizontal development
- 10.5% fixed rate, 1.5% origination fee, 18-month term
- Quick, straightforward close that positioned the borrower to move directly into vertical construction
“Greysteel initially pursued financing for both the horizontal and vertical development components before determining that the borrower could secure more cost-effective construction financing through its existing homebuilding line. The team ultimately structured an 83% loan-to-cost financing for the horizontal development, allowing the project to close quickly while positioning the borrower to move efficiently into the vertical construction phase.” — Landen Nix, Greysteel Lead Deal Contact, Debt Placement Team
Greysteel Advisory Expertise
Greysteel is a commercial real estate advisory firm specializing in investment sales and debt and structured finance, serving private investors, middle-market operators, and institutional clients nationwide.
The firm provides sector-focused advisory across multifamily, healthcare, and affordable housing and other commercial real estate asset classes, delivering market intelligence, capital markets expertise, and disciplined execution.
