Ground-Up Construction and Conversion Finance

Loanetics Fund II

Ground-up construction financing and construction-to-permanent structures for experienced commercial developers across multifamily, industrial, mixed-use, and specialty property types.

$2.600B
Target Fund Size
10–14%
Net IRR Target
8%
Preferred Return
$2M
Minimum LP Commitment
Strategy

What Fund II does.

Loanetics Fund II provides construction and conversion financing for ground-up commercial real estate developments across multifamily, industrial, mixed-use, and specialty property types.

Loan structures include full recourse completion guarantees, completion bonds, interest reserves, and independent construction inspection protocols with third-party inspector sign-off on draw releases.

Single-close construction-to-permanent instruments finance both the construction phase and convert automatically to permanent debt upon project completion, eliminating a second closing. The fund targets experienced developers with proven track records and strong equity capitalization.

At a glance

Key terms

SectorGround-Up Construction and Conversion Finance
VehicleDelaware Limited Partnership
Target Fund Size$2.600B
Net IRR Target10–14% net IRR
Preferred Return8% compounded annually
Carried Interest15% above 8% pref (100% GP catch-up)
Minimum LP Commitment$2,000,000
AuditorPwC
Fund CounselLePore Law Group
GovernanceLP Advisory Committee
Ideal borrower

Who Fund II serves.

Experienced commercial developers with completion track records and strong equity capitalization on multifamily, industrial, mixed-use, and specialty projects.

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Hallmark features

How the loans are structured.

  •  Full recourse completion guarantees
  •  Independent third-party inspection protocol
  •  Interest reserve funded at closing
  •  Single-close construction-to-perm option
  •  5 business day draw processing

Interested in Fund II? Qualified LP investors can request the fund deck, PPM, LP subscription package, and audited platform financials through Investor Relations. Borrowers can submit a loan application directly through the Borrower Intake portal.