Commercial Construction Loans

Our construction loan program is specifically designed for franchised hotel projects under IHG-branded flags, including Holiday Inn, Holiday Inn Express, EVEN Hotels, Avid Hotels, and Atwell Suites. Eligible projects include ground-up builds, expansions, and major renovations. All projects must have a clear business plan, a vetted construction budget, and a defined path to stabilization. If you’re unsure whether your brand or project type qualifies, contact our team directly.

Typical loans range from $5M–$30M, with leverage up to ~70–75% of cost or value, and up to 3-year terms (often interest-only with extension options). Rates are floating over SOFR, sized to risk, asset type, and sponsor strength.

From signed LOI, plan on ~45 days to close, driven by third-party reports (appraisal, environmental, PCA). After closing, funds are advanced through draws tied to completed work, supported by inspections and lien waivers.

Yes. Many sponsors line up a take-out (SBA 504 or conventional perm) before shovels hit the ground. We can structure to the expected exit and help time third-party reports to reduce rework.

Through the AVANA Oaktree Private Credit Partnership, borrowers can access custom bridge or construction financing between $5MM and $30MM, typically structured as interest-only loans for up to 3 years plus annual extensions, at rates of approximately 1-Month SOFR + 4.50%–7.00%, depending on asset type and risk profile. This program offers institutional capital and flexible structures for experienced commercial real estate sponsors.

The AVANA–IHG Co-Lending Program provides tailored financing for IHG-branded hotel construction, with loan amounts from $5MM to $30MM, terms up to 3 years plus extensions, and rates starting around 1-Month SOFR + 4.00% (floor of 8.00%). Loans are typically interest-only, secured by a first mortgage, and limited to the lesser of 75% of as-is value or 70% of as-stabilized value.