Commercial Construction Loans California


A commercial construction loan is a kind of business loan that helps businesses cover the costs associated with building or renovating structures. You can use such loans to purchase land, buy materials and pay workers. Construction loans in California are short-term loans, lasting 12 months or less. This means that they usually have higher interest rates than longer-term loans such as mortgages. Once the construction is complete, you’ll need to refinance the loan in order to get permanent financing.

The amount of money you can borrow with a construction loan will depend on several factors, including the value of the property and the cost of the project. If you’re planning to finance a commercial construction project, it’s important to understand that most lenders will not finance 100% of the cost. The loan-to-cost ratio (or loan-to-value ratio) is the percentage of the project’s total cost that will be covered by the loan. The exact percentage will vary depending on the lender, but it’s typically 70-90%. So, if you’re planning a project that will cost $1 million, you can expect to need a down payment of $100,000-$300,000.

Whether you’re planning to build a new office complex or expand your current facility, a construction loan can help you make it happen. Be sure to contact Lending Bee for a free consultation before making a decision.

Benefits Of Construction Loans in California

1. Construction business growth

If you’re in the construction business, you know that access to capital is essential. Whether you’re just starting out or looking to expand your existing operation, a commercial construction loan can give you the boost you need to purchase land, materials, and labor. 

2. Fast closing

Construction loans are much more flexible and faster than traditional loans. As a result, they are a great option for builders who want to get started on their projects without delay. 

3. Interest-only payments during the construction

The builder or home buyer typically makes interest-only payments during the construction period, after which they will begin making principal and interest payments on the loan. The interest rate on a construction loan is usually variable, meaning it can change over time. This can be risky for the borrower if interest rates rise during the construction period, as it will increase the cost of the project. However, if interest rates fall, the borrower may be able to lock in a lower rate for their long-term mortgage. 

By the way, Lending Bee has programs that allow you to repay the construction loan in a week or a month without a prepayment penalty! 

Why You Should Choose Lending Bee

Lending Bee is a leading hard money company that offers California commercial construction loans. We have a long history of helping businesses secure the funding they need to grow and thrive. Our team of experienced professionals is dedicated to providing our clients with the best possible service. We offer competitive rates and terms, and our loan process is designed to be fast and easy.

  • We are fast and experienced in everything we do! Our main advantage is almost 20 years of experience in the industry!
  • We have in-house underwriting and processing departments to streamline the process.
  • We manage our own fund and work with a tight pool of investors that allows us to get the project funded fast.
  • FICO score is not important to us, we value your experience as an investor, and that’s what counts!
  • We take on the deals that banks decline, regardless of past bankruptcies, and foreclosures. 
  • Every deal is unique, we do our best to help structure the loan and find the best program for each of our clients.
  • Our process is transparent and clear, with no hidden fees. So whether you’re planning a single-family home, multifamily residence, or commercial property – we can be your source of funds. 
  • We fund deals from $50k to $25mil and arrange the closing in 5-7 days only.

Contact us today to learn more about our commercial construction loans. We look forward to helping you grow your business! If you apply now, you can get approved in as little as 24 hours!

Our Services

Here at Lending Bee, we offer a variety of loans to meet the needs of businesses across a wide range of industries. Whether you’re looking to build a new office complex, expand your restaurant, or construct a new warehouse, we have the loan that’s right for you. We offer competitive rates and flexible terms, so you can get the financing you need to get your project off the ground. 

Lending Bee offers commercial construction loans working with any type of property, some of them are the following:

  • Apartments
  • Condominiums
  • Office buildings
  • Cannabis warehouses
  • Hotels and motels
  • Industrial buildings
  • Restaurants, and more

Contact us today to learn more about our commercial construction loans in California and how we can help you make your vision a reality.

Our Cases

About Lending Bee

If you’re looking for commercial or residential construction loans in California, then you’ve come to the right place. Lending Bee is a one-stop company for all things real estate. We’re a hard money lender that offers complete solutions to experienced real estate investors. 

We fund all types of commercial & residential real estate investment projects in California!

Our team of lending professionals is trained in common-sense underwriting, so we can offer you the financing that isn’t bound by institutional guidelines. Plus, with almost 20 years of experience in the industry, we know what it takes to get the job done. Whether you’re looking for land and construction loans California, or you’re simply looking for some expert advice, we have the resources and expertise you need. Contact us today to learn more about how we can help you!

  • 24-hour pre-approval
  • Support at every step
  • Closing in 5-7 days
  • Loan amount: Up to $25M
  • LTV Ratio: Up to 75%
  • Commercial and residential property
  • Purchase, Refinance, Cash Out
  • $0 prepayment penalty option available
  • For real estate investors in California


1. What are the requirements for a construction loan in California?

Construction loans in California can be an important tool in financing the next commercial construction project. But what are the requirements? They are minimum and easy to meet:

  • Down payment

To take a commercial construction loan, a down payment of at least 20% of the total expected project cost is required. In some cases, it may be possible to negotiate a lower down payment with the lender, but this will typically come with a higher interest rate. 

  • Credit score

In order to qualify for a commercial construction loan, business owners must have a good credit score. A score of 650 or above is considered to be good, while a score below 650 is considered to be riskier. Business owners with a riskier score may still be able to get a loan, but they may have to pay a higher interest rate. Furthermore, it is important to check your payment history and make sure that there are no negative reports or missed payments that could make you appear less reliable. 

  • An experienced construction team

The borrower needs to hire a professional construction team and provide the lender with the documentation that proves the builder is licensed and has a good reputation. This is important because the lender wants to be sure that the project is in good hands and that the money being loaned is being used wisely. 

  • A detailed construction plan

A borrower will have to provide a detailed project description with its budget and timeline. This step is highly important to secure the financing you need to make your dream home a reality.

2. What happens when you go over budget on a construction loan?

It’s important to have a realistic understanding of the costs and timeline for the project. If the project goes over budget on a construction loan, you’ll need to follow certain steps in order to find a solution:

  • Analyze your obligations, which means you need to carefully review your project contract in order to estimate the risks
  • Consider additional funding opportunities
  • Negotiate the project details to revise the scope of work and decrease it if possible
  • Analyze mistakes to avoid for your upcoming building projects

3. How much time do I need to apply for commercial construction loans in California?

The amount of time it takes to apply for and receive commercial construction loans in California can vary depending on a number of factors, including the type of loan you are applying for, the lender you are working with, and the complexity of your project. In general, however, it is typically possible to complete the application process within a few weeks. Once your loan is approved, the funds will be disbursed according to the schedule outlined in your loan agreement. If you have any questions about the timeline for your commercial construction loan, contact us, and we’ll provide you with more information.

Sum Up

When it comes to real estate investment, construction projects can be a great opportunity to earn a profit. But they can also be overwhelming, requiring extensive documentation and paperwork. Securing financing is often one of the most challenging aspects of the process. Traditional lenders can be reluctant to finance construction projects, and the application process can be time-consuming and complicated.

At Lending Bee, we specialize in hard money loans and can help you navigate the process from start to finish. We understand that taking out a loan is a big decision, and our goal is to provide you with the information you need to make an informed choice. With our help, you can get the funding you need to make your construction project a success!